An unidentified investor from Europe has initiated proceedings against crypto exchange Binance under International Chamber of Commerce (ICC) rules, The Block has reported with reference to a source.
According to it, the investor has demanded compensation in excess of $140 million claiming that "his funds were unjustly liquidated by the exchange in November 2020."
The process has been initiated in Switzerland after several months of negotiations, the publication has reported.
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According to the media, the claim is related to Binance's automated settlement system. It allegedly forced the investor to sell a large amount of cryptos to his own detriment, while the exchange allowed a conflict of interest.
The complaint is directed at more than 45 organizations worldwide, as the company has not disclosed its headquarters. According to the initiator of the proceedings, they are all related to Binance.
The ICC rules are used to resolve international commercial and investment disputes. Arbitrators are selected by the parties and an independent mediator is appointed.