Oct 7 attack victims file multi-billion-dollar lawsuit against crypto tycoon accused of funding Hamas terrorism

Approximately 100 U.S. and Israeli victims of the Hamas Oct. 7, 2023 attack on southern Israel have filed a multi-billion-dollar lawsuit against cryptocurrency billionaire, Changpeng Zhao.

Changpeng Zhao, known as "CZ," is a Chinese-born Canadian and the founder and CEO of Binance, the world's largest cryptocurrency trading platform. Gideon Fisher & Co. Law Offices in Tel Aviv, along with several U.S. law firms, filed the lawsuit by the more than 100 plaintiffs in the California Superior Court.

According to the official complaint, Zhao and Binance “intentionally and/or negligently provided extensive cryptocurrency services to Hamas, which caused, enabled, and facilitated the October 7 attack.”

“Defendant Changpeng Zhao’s actions directly contributed to the horrific mass terrorist attack,” the lawsuit stated.

Zhao is also facing allegations of violating international sanctions and U.S. laws by facilitating Hamas’ use of cryptocurrency trading to finance its deadly attack on Israelis, Americans and foreign nationals.

The over 100 plaintiffs filing the lawsuit include Oct. 7 massacre survivors and families of Israelis and Americans who were murdered or wounded by Hamas terrorists in the attack. One plaintiff, American citizen Deborah Hartston, is seeking justice for her 22-year-old daughter Ayelet Arnin, who was killed in the attack.

The complaint described the lawsuit as “a civil action seeking damages for wrongful death, personal injury, and related torts,” with the overall goal to hold Binance and Zhao accountable for financing the Oct. 7 atrocities.

The plaintiffs demand financial compensation for physical wounds, emotional distress, future income losses and medical expenses. They also hope the lawsuit will deter similar actions by Binance or other crypto platforms in the future.

“This case goes beyond past efforts; it targets a business entity with assets valued in the tens of billions of dollars.” Dr. Gideon Fisher argued, adding that the lawsuit is both a moral and strategic action to stop the financing of terrorism.

Legal advisor Ortal Reisman urged other Oct. 7 survivors or families of victims to join the lawsuit against Binance and its CEO.

“I urge all individuals recognized as victims of terrorism to participate in the US lawsuit against Binance’s CEO and in future claims targeting Hamas and its financial backers,” Reisman stated.

The cryptocurrency exchange has emerged as an important source of funding for Hamas and other Iranian-backed terrorist organizations.

In April 2023, Israel seized crypto accounts that were linked to Hamas about six months before the invasion and massacre.

Since last October, the United States and other allies have stepped up efforts to block Hamas' attempts to raise funds through digital trading platforms.

At the time, U.S. Treasury Secretary Janet Yellen vowed that the United States would prevent Hamas from financing its lethal terrorism against Israeli civilians.

“The United States is taking swift and decisive action to target Hamas's financiers and facilitators following its brutal and unconscionable massacre of Israeli civilians, including children,” U.S. Treasury Secretary Janet Yellen stated.

The Israeli Police also vowed to combat the financing of anti-Israel terrorism, saying, along with the Ministry of Defense and other partners, it would “continue the fight against terrorist financing and targeting the strategic financial assets of terrorist organizations.” At the time, Binance stated it was cooperating with various international actors “to support ongoing efforts to combat terror financing.”