CZ Refutes Rumor Of Borrowing $250M From BAM Management

CZ Refutes Rumor Of Lending $250M To BAM Management

Binance CEO Changpeng Zhao refutes the recent report that alleges he borrowed $250 million from BAM Management, a company connected to Binance.US.

On September 19, one report cited court documents related to a legal dispute between Binance and the United States Securities and Exchange Commission (SEC). 

The report suggested that Binance US’s lawyers stated in these documents that BAM Management US Holdings had given Zhao a $250 million convertible note in December. However, Zhao disagreed with this report and voiced his disagreement on Twitter.

In a social media post, Zhao posted a picture of a report and mentioned that the media outlet had misunderstood the situation. 

According to the CEO of Binance, the loan actually went in the opposite direction. He clarified in his tweet that he had provided a $250 million loan to BAM Management, and he hadn’ttaken it back yet.

The Binance executive suggested in the tweet that the report contains a lot of incorrect information. However, Zhao did not provide more details about which specific parts of the report were wrong.

During the ongoing legal dispute between the SEC and Binance, the SEC has stated multiple times that it’s having difficulties obtaining information from both Binance and Binance.US since the lawsuit began. 

To address this issue, the SEC requested in court that Binance provide more access to its executives for questioning and sharing detailed information. 

However, in a recent court hearing to discuss this request, a judge expressed hesitancy about granting the SEC’s request for access and information at this time.

Also Read: Binance CEO CZ Dismisses FUD, Assures Financial Strength

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