Reuters: Nearly 1,700 British investors are suing Binance and CZ in London, claiming £150 million

According to Reuters, nearly 1,700 British investors are suing the cryptocurrency exchange platform Binance and its founder Changpeng Zhao (CZ) in the High Court of London, seeking at least £150 million (approximately $200 million) in damages.

The plaintiffs accuse Binance of selling high-risk and complex cryptocurrency derivatives, such as leveraged products, to UK retail investors without regulatory authorization since the end of 2019, and violating the UK's Financial Services and Markets Act in related promotions. Some plaintiffs claim they have suffered losses of tens of thousands of pounds as a result. It is reported that the defendants in this lawsuit include Binance Holdings, registered in the Cayman Islands, Nest Exchange, registered in the UAE, Changpeng Zhao, and other unknown operators of the Binance trading platform.

In response to these allegations, a Binance spokesperson declined to comment specifically on the ongoing litigation but stated that the company would actively defend itself and emphasized that Binance is always committed to fulfilling its obligations to users and operating within the applicable legal framework. Background information shows that the UK's Financial Conduct Authority (FCA) explicitly prohibited cryptocurrency firms from offering derivative services to retail customers in 2021.