RedotPay's IPO Slips Toward 2027 Amid Binance Suit and Executive Exodus
RedotPay has pushed back a planned US IPO that could have raised over $1 billion, now unlikely before 2027, as Binance-related lawsuits and executive departures weigh on the stablecoin payments firm.
Hong Kong-based stablecoin payments company RedotPay has delayed its planned US initial public offering, with a listing now considered unlikely before 2027, according to Bloomberg. The company said it needs regulatory approvals in the markets where it operates before proceeding. The IPO had been expected to raise more than $1 billion at a valuation above $4 billion, potentially as early as this year.
The delay comes after a period of rapid fundraising and notable management turnover. RedotPay raised $194 million across two funding rounds in 2025, with backing from the venture arms of Coinbase and Circle. In February, the company said it was weighing a US listing that could raise over $1 billion, and Bloomberg reported it had 6 million users at the time. By March, RedotPay was seeking an additional $150 million while dealing with leadership instability: at least five senior hires had left within 12 months, the compliance chief role changed twice, and the company had no CFO in place.
Binance Affiliates Sue Founders
In August, Binance-affiliated entities filed lawsuits against RedotPay's founders Gao Zhangpeng, Chan Wa Choi and Yao Chao in Hong Kong, with a parallel case in Singapore. The suits allege the founders diverted roughly 470,000 users to RedotPay, breaching a March 2025 partnership agreement that allowed Binance Pay customers to use RedotPay's card to convert crypto to fiat. Damages of about $473 million are being sought. RedotPay has rejected the claims, telling CoinDesk it "will vigorously defend all claims."
Despite the legal and personnel issues, RedotPay says its business continues to grow. The firm reported 8.5 million users as of July and said this week it obtained a US money transmitter licence as it prepares to launch its product domestically.
The Hong Kong and Singapore lawsuits remain unresolved, and RedotPay has not provided a revised IPO date beyond Bloomberg's 2027 estimate. The company attributes the delay solely to regulatory approvals, leaving the outstanding legal and leadership questions outside its own framing.
Source: Finance Magnates