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Scan for outdated or missing drivers - takes under a minuteDriver Scan →Clear out junk files and repair common Windows errorsFree Scan →Fix the driver behind crashes, sound loss and screen glitchesFind Drivers →FTX’s bankruptcy plaintiffs allege that Alameda Research transferred about $1.76 billion in cryptocurrency in a July 2021 repurchase of Binance-related stakes in FTX. The U.S. Bankruptcy Court for the District of Delaware has not found that Binance or Changpeng Zhao committed fraud or ordered them to pay that amount: its July 24, 2026 ruling dismissed some claims, denied the remainder of the defendants’ requested dismissal relief, and left other challenged claims in the case at that stage.
Why FTX is seeking the money
FTX Recovery Trust and FTX Digital Markets Ltd. filed their complaint on November 10, 2024. It challenges a July 2021 share repurchase involving Binance-related stakes in FTX. The plaintiffs allege that Alameda Research funded the transaction with cryptocurrency worth approximately $1.76 billion. That figure is the alleged value of the transfer—not a court award, judgment, or amount recovered.
The complaint and the bankruptcy court’s account of it identify the alleged consideration as FTT, BNB, and BUSD. The plaintiffs also allege that Alameda lacked sufficient funds, FTX was insolvent, and customer deposits were used. These are allegations described in a decision on motions to dismiss; they have not been established by a trial verdict in the ruling discussed here.
What the fraudulent-transfer claims mean
The plaintiffs plead actual and constructive fraudulent-transfer theories, along with related claims. Broadly, those theories ask whether a transfer can be challenged because of alleged intent to hinder, delay, or defraud creditors, or because it was made without the required value while the debtor met specified financial conditions. The complaint’s theories are claims to be litigated, not findings that the transfer was fraudulent.
What the court decided in July 2026
On July 24, 2026, the U.S. Bankruptcy Court for the District of Delaware issued an opinion and order on defendants’ motions to dismiss. It dismissed the fraudulent-transfer counts against Samuel Wenjun Lim and Dinghua Xiao, and dismissed the state-law counts against the Binance defendants. It denied the remainder of the requested dismissal relief, leaving other challenged claims in the bankruptcy proceeding at that procedural stage.
The order also rejected the defendants’ effort to compel arbitration of the fraudulent-transfer claims, concluding that the plaintiffs had not agreed to arbitrate those claims. The court’s statement that “The remainder of the relief requested in the Motions is denied” describes the outcome of the dismissal motions; it is not a finding of liability.
Is the FTX lawsuit against Binance over?
The July ruling did not resolve the remaining claims after trial, determine liability, or award the requested $1.76 billion. It was a pleading-stage decision about which claims could proceed against which defendants, not a final verdict on the alleged transfer.
A separate but related appeal by Digital Anchor Holdings Limited involving FTX Recovery Trust and FTX Digital Markets Ltd. had a briefing schedule set by a District of Delaware order dated September 16, 2026. The appellant’s opening brief was due October 8, 2026. That scheduling order establishes the deadline, but does not establish whether a brief was filed by then or whether an appellate decision followed.
Who is involved
The plaintiffs are FTX Recovery Trust and FTX Digital Markets Ltd. The proceeding names Binance-related entities and Changpeng Zhao as defendants. Lim and Xiao are also addressed in the July ruling, which dismissed the fraudulent-transfer counts against them. The court’s different rulings depended on the claims and defendants involved; they should not be read as a single decision that either cleared or held every defendant liable.
Quick Recap
Key case documents
- FTX plaintiffs’ complaint, filed November 10, 2024, U.S. Bankruptcy Court for the District of Delaware, docket document 27852.
- In re: FTX Trading Ltd., et al., Opinion and Order Regarding Defendants’ Motions to Dismiss the Complaint, U.S. Bankruptcy Court for the District of Delaware, July 24, 2026.
- District of Delaware order setting the briefing schedule in Digital Anchor Holdings Limited’s appeal, September 16, 2026.
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