Florida Court Reopens $80M Bitcoin Theft Case Against Binance

Highlights:

• A Florida court of appeals has decided to grant fresh hearings to a $80 million Bitcoin theft case against Binance.
• A lower court had initially dismissed the case, citing a lack of personal jurisdiction to prosecute the exchange.
• The victim of the Bitcoin theft accused Binance of negligence and aiding in the transfer of stolen assets.

A Florida court has decided to reopen a lawsuit against Binance, reigniting a case that started after $80 million in Bitcoin (BTC) was laundered through the exchange in 2022. According to Bloomberg, the Third District Court of Appeal ruled on December 3 that the case deserves another hearing. The lawsuit was based on a claim that the exchange failed to freeze and recover about 1,000 stolen Bitcoin (BTC) that were moved through a Binance account.

According to Bloomberg Law, Florida’s Third District Court of Appeal ruled Wednesday that a user who alleges roughly $80 million in BTC was stolen on Binance may revive a state-level lawsuit, finding the trial court erred in concluding it lacked personal jurisdiction over…

— Wu Blockchain (@WuBlockchain) December 4, 2025

Origin of the Court Case

The legal dispute began when the victim, Michael Osterer, reported that hackers had stolen approximately $80 million worth of Bitcoin (BTC) from his wallet and then transferred the stolen assets through a Binance account.

In his claims, Osterer stated that Binance did not act fast enough to stop the token transfer on its platform. He accused the exchange of negligence, breaching its obligations to users, and aiding criminals in moving stolen funds by failing to freeze the account after he reported the theft. The victim wants to recover the entire stolen assets plus interest.

Notably, a lower court had previously dismissed the case. The court ruled that Binance could not be sued in Florida because it did not have a physical office in the state. However, the appeal court has disagreed with the lower court’s verdict. The court of appeals argued that Binance’s links to the US, including its use of Amazon Web Services and US-focused affiliates, were enough to sue the exchange in Miami-Dade County.

The recent ruling by the court of appeals only affects Osterer’s claims under Florida state law. It is different from a federal case about money laundering that was recently sent to Florida’s Southern District. In 2023, Osterer also filed a class-action lawsuit for victims who claimed that Binance enabled the transfer of their stolen assets through its platform. 

The appeal court’s decision implies that Binance will be preparing to face the state-level lawsuit in Florida, and Osterer will have another chance to recover his long-lost digital assets. Like in similar past court disputes, Binance may choose to appeal the case or push for arbitration. 

Binance Sparks Debate Over New Children’s App

On December 3, Binance launched Binance Junior, a mobile app for children aged between 6 and 17 years. The app enables parents to monitor and control their children’s cryptocurrency trading activities by connecting to the parents’ main Binance accounts. The exchange described the app as a family-focused tool for learning about finance.

Introducing Binance Junior, a parent-controlled app and sub-account for kids and teens.

Build family-focused crypto savings and prepare your child for a future empowered by crypto.

Try it now https://t.co/q4Y50PvApy pic.twitter.com/O1R2yZ4vVE

— Binance (@binance) December 3, 2025

Meanwhile, Binance Japan recently partnered with PayPay, a payment services provider operated by SoftBank Group. The collaboration aims to provide simplified payment options and improve the accessibility and efficiency of cryptocurrency transactions among Japanese users.