Binance Exchange Denies Sequoia’s Allegation of Exclusivity Breach

Zhao Changpeng, the founder of Binance, one of the world’s most significant cryptocurrency exchanges by trading quantity, has denied an allegation that he breached an exclusivity arrangement with a mentioned VC company while negotiating around a probable investment decision.

In a site post posted Thursday, Binance issued a response to a report yesterday which exposed that Zhao is presently experiencing a lawsuit submitted with the Hong Kong Superior Court docket by undertaking funds giant Sequoia Money.

As reported yesterday, the scenario stems from the collapse of negotiations for an investment decision in Binance by Sequoia. Following the talks fell as a result of, the VC company brought the lawsuit in opposition to Zhao, accusing him of breaking an exclusivity arrangement by conversing to a further probable investor IDG Money in December last calendar year.

“Mr. Zhao denies all of Sequoia’s allegations relating to the present dispute. As the substantive concerns in dispute amongst the parties are topic to private arbitration proceedings, Mr. Zhao will make no more remark on the issue,” the company mentioned.

Although a former Hong Kong court purchase has briefly barred Zhao from conversing to other probable buyers, Binance recommended that the court might have now be obtaining 2nd views on no matter whether the purchase should really have been issued.

The post continued:

“Sequoia attained an ex parte injunction devoid of see in opposition to Mr. Zhao at the close of December 2017. Following a hearing attended by the two parties’ lawful associates in April 2018, the Superior Court docket of Hong Kong has now determined that this injunction should really not have been granted, as it had been improperly attained and constituted an abuse of course of action by [Sequoia].”

Though it did not offer you any specifics on the upcoming stage of the lawsuit, the trade said Sequoia has been ordered to fork out Zhao’s charges in relation to the lawful proceedings.

Court docket gavel impression through Shutterstock

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