Alleging Defamation, Binance CEO Sues Bloomberg Hong Kong Subsidiary

Alleging he was defamed, the CEO of one of the world’s largest crypto exchanges has reportedly filed a lawsuit against a Bloomberg subsidiary in Hong Kong.

Changpeng “CZ” Zhao is pursuing legal action related to a July 6 article, which accuses the chief executive of operating a “Ponzi scheme.”

The traditional Chinese-language edition of Bloomberg Businessweek in Hong Kong operated by Modern Media since 2013 has been named in the suit.

Modern Media changed the title of the original June 23 article “Can Crypto’s Richest Man Stand the Cold?,” to “Changpeng Zhao’s Ponzi Scheme,” which caused “distress” and “embarrassment,” CZ said.

CZ has also filed a motion for discovery against Bloomberg in the US for defamation stemming from the original in June.

Blockworks attempted to contact Binance and Bloomberg but did not receive a reply by press time.

The head of Binance said — due to the wide reach Businessweek has in Hong Kong — the article led to a degradation of his character within the crypto community and other business circles, according to the report.

It’s not the first time CZ has taken action against a publication to protect the image of his personal brand, as well as that of Binance. In 2020 the CEO sued Forbes Media for defamation stemming from an article that described how the exchange went about avoiding regulators.

Less than two years later, Binance committed $200 million to the global media company where CZ said at the time his company looked forward to “bolstering Forbes’ digital initiatives.”

CZ has asked Modern Media to retract the article and to remove the piece from distributors’ shelves — as well as requesting a formal apology and compensation including aggravated damages.

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