RedotPay Vows To Fight Binance Lawsuit Over Alleged User Poaching

RedotPay, which calls itself the world’s largest stablecoin payment card issuer, said Wednesday it will “vigorously” defend itself against a Binance lawsuit accusing the firm of diverting about 470,000 users and causing nearly $473 million in losses. “The Company rejects the unfounded allegations made against it and its co-founders,” RedotPay said in an emailed statement.

Binance Alleges Misuse Of Funds

According to court filings cited by Bloomberg, Binance said it discovered since March 2026 that RedotPay had allowed Binance Pay funds to be used without proper segregation for prohibited purposes, including topping up RedotPay cards.

A Binance spokesperson said the company doesn’t comment on ongoing litigation but “will use courts and other forums to pursue what is right.” A related lawsuit from Binance’s Chaintecs unit against RedotPay affiliates is set for a hearing Friday in Singapore.

History Of Two Failed Agreements

The two companies first partnered in November 2023, but the deal collapsed within six months after Binance alleged its funds were misused for card top-ups. A second agreement in March 2025 required strict fund separation, allowing Binance users to convert crypto to fiat and make transfers through RedotPay, but Binance ended that partnership in April 2026 during a merchant review.

RedotPay has previously outlined plans to raise more than $1 billion in a US IPO at a potential $4 billion valuation.