Last updated on April 14th, 2023 at 12:28 pm
One of the largest cryptocurrency exchange Binance has sued Forbes for a misleading article leading to “millions of dollars” in losses.
Filing the lawsuit in the state of New Jersey against Forbes Media and two of its journalists, Michael del Castillo and Jason Brett, Binance claimed that “Leaked ‘Tai Chi’ Document Reveals Binance’s Elaborate Scheme To Evade Bitcoin Regulators” published by Forbes on Oct. 29 was defamatory.
The article contained an analysis of a scheme designed to “intentionally deceive regulators” in the United States.
It detailed a plan to funnel revenue from a U.S. entity back to Binance while insulating the company from U.S. enforcement.
Binance submitted that “The Story contains numerous false, misleading and defamatory statements about Binance.”
What does Binance want from Forbes?
The cryptocurrency exchange is demanding both compensatory and punitive damages.
The lawsuit was filed on Wednesday, November 18, 2020 with the United States District Court of New Jersey.
The crypto firm denies that it did not create the Tai Chi document and has never implemented the scheme described within it.
Binance also claimed that Harry Zhou, reportedly the author of the document, never worked for the company.
Considering the authority and influence of Forbes Media, Binance believes that millions of news consumers could hinge their decision base on the report and therefore wants Forbes Media to remove, retract and apologize because is “false, misleading and defamatory statements.”
We stand by our report – Forbes
Reacting, Forbes Media said its report is backed by facts and non-negotiable and ready to defend the publication, Chief Communications Officer for Forbes Matt Hutchison stated.
It isn’t the first time Binance would be instituting a lawsuit against big media firm. In November 2019, Binance’s CEO, Changpeng Zhao, threatened to sue The Block, a cryptocurrency news outlet in a tweet.
No Need to sue – Crypto enthusiast
No CZ, don't get petty. Just reply with facts so that there's no ambiguity. Be like "The block said what? Nah they're full of shit, it was just an office building with contractors or third party vendor, etc etc" don't threaten to sue, take the high road 🙂
— Grateful Dad (@GratefulPapa3) November 23, 2019
Conor McGee suggested that Binance should reply with facts instead of litigation, “No CZ, don’t get petty. Just reply with facts so that there’s no ambiguity. Be like “The block said what? Nah they’re full of shit, it was just an office building with contractors or third party vendor, etc etc” don’t threaten to sue, take the high road”