RedotPay Sues Binance in Hong Kong Over 470,000 Users

RedotPay's planned $1 billion IPO has been put on hold due to a lawsuit filed by Binance in Hong Kong. The lawsuit alleges that RedotPay used a partnership with Binance to move over 470,000 users away from Binance Pay and onto its own products.

The lawsuit claims that RedotPay's actions resulted in roughly $304 million flowing out of Binance Pay, and seeks damages of around $470 million. This is a significant blow to RedotPay, which had been looking at a valuation of over $4 billion.

RedotPay had previously announced a partnership with Coinbase Ventures and Galaxy Ventures in September 2025, and raised $107 million in a Series B funding round led by Goodwater Capital just three months later. The company said it had more than 6 million registered users in over 100 markets and over $10 billion in annualized payment volume as of November 2025.

The lawsuit has put RedotPay's plans for a US listing on hold, with Bloomberg reporting that the company is unlikely to list before 2027. The SEC's Division of Investment Management had issued a no-action letter allowing Franklin Templeton's registered mutual funds and ETFs to hold shares of BENJI, its blockchain-based government money fund, but RedotPay's situation is more complex.