RedotPay pauses US IPO amid Binance lawsuit

RedotPay, a Hong Kong-based stablecoin payments firm, has paused plans for a US initial public offering while it pursues regulatory approvals and responds to a nearly $473 million lawsuit from affiliates of Binance.

The company recently obtained a US money transmitter license and is preparing to launch its product in the United States. RedotPay declined to comment on the timing of any IPO and pointed to its licensing progress and US expansion.

Founded in 2023, RedotPay had explored a New York listing that could have raised more than $1 billion and sought a valuation above $4 billion. The firm has also held private talks to raise up to $150 million and has been adjusting its organization and hires to support faster growth.

Affiliates of Binance filed the suit in Hong Kong in August, seeking nearly $473 million in damages. The plaintiffs allege RedotPay’s founders diverted hundreds of thousands of customers from Binance and used confidential information obtained during prior work with Binance to build a competing payments business. RedotPay rejected the allegations and pledged to ‘vigorously defend all claims.’

The dispute has extended to Singapore, where the parties disagree on the status of a related proceeding. RedotPay stated it expected Binance to discontinue the Singapore case; Binance has said its claims remain active.

Banks involved in planning the potential listing include JPMorgan Chase, Goldman Sachs and Jefferies. With the IPO timetable on hold, RedotPay is focused on completing its US launch, securing regulatory approvals and resolving outstanding legal and compliance matters before pursuing a public offering.