RedotPay US IPO delayed as $473M Binance lawsuit adds pressure

RedotPay has reportedly delayed a planned US initial public offering that could raise more than $1 billion as the Hong Kong stablecoin payments company works through regulatory approvals and legal disputes while preparing to enter the US market.

Bloomberg reported on Aug. 14, citing people familiar with the matter, that RedotPay had pushed back its listing plans as the company seeks regulatory approvals and deals with legal disputes involving Binance.

A spokesperson for RedotPay declined to comment on the timing of the IPO when contacted by crypto.news, but said the company had secured a US money transmitter license this week and was preparing to launch its products in the country.

“Our strategy continues to focus on global regulatory compliance and business growth,” the spokesperson said. “This week, we obtained a money transmitter license in the US. We are preparing to launch our product in the US.”

The spokesperson also said RedotPay reported record users, revenue, profit and margins in its Q2 2026 investor update, without providing figures for the period.

RedotPay IPO plans have faced a delay

RedotPay’s potential US listing first emerged in February, when the company was reported to be considering a New York IPO that could raise more than $1 billion and value the payments firm at over $4 billion.

At the time, previous coverage showed that RedotPay was working with JPMorgan Chase, Goldman Sachs and Jefferies Financial Group on the proposed transaction, with a listing considered possible during 2026.

Founded in Hong Kong in April 2023, RedotPay provides stablecoin-based payment services, including crypto payment cards, multicurrency wallets and global payouts. By February, the company had more than 6 million users across over 100 markets and was processing billions of dollars in annualized payment volume.

The firm had also raised $194 million during 2025. A $107 million Series B financing led its December funding round, with Goodwater Capital, Pantera Capital and Blockchain Capital among its backers.

Before the Series B, RedotPay secured $40 million in a Series A round backed by Lightspeed, Galaxy and HongShan. The financing helped the company reach unicorn status before reports about its potential US listing surfaced.

RedotPay has separately been discussing another private funding round of as much as $150 million, according to earlier reports. The talks have taken place while the company adjusts its organizational structure and continues preparations for a possible public offering.

“As we transition from an early-stage startup to a unicorn, we are evolving our organizational structure and talent pool to support our ongoing growth trajectory,” the company said in March.

Binance lawsuit has added a $473 million dispute

Alongside the regulatory work needed for its US expansion, RedotPay is facing claims from Binance affiliates in Hong Kong seeking nearly $473 million in damages.

The Binance-linked plaintiffs sued RedotPay’s founders earlier in August, alleging they used confidential information obtained during their previous employment with Binance to establish a competing payments company and move hundreds of thousands of Binance customers to the new platform.

According to the claims, the confidential material was allegedly used to help RedotPay build its payments business and attract users who previously used Binance. RedotPay has rejected the allegations and said it would “vigorously defend all claims.”

The dispute also extends to Singapore, where the two companies have offered conflicting accounts of the status of a related case.

RedotPay said earlier this week that it expected Binance to discontinue the Singapore proceedings following an Aug. 7 hearing. Binance disputed that account and said it had not withdrawn its claims.

Legal pressure around Binance has extended into several markets during 2026. In July, nearly 1,700 British investors filed a London lawsuit seeking at least £150 million, or roughly $200 million, from Binance, founder Changpeng Zhao and other defendants over alleged losses linked to crypto derivatives.

The UK claim alleges that leveraged tokens, futures and options were offered without the required regulatory authorization. Binance said it would defend itself against the allegations.

US launch adds to RedotPay’s payment expansion

While its IPO timetable has reportedly been pushed back, RedotPay’s newly obtained money transmitter license gives the company another regulatory approval as it prepares to offer its services in the US.

The company has already been extending its stablecoin payment services into other markets. In June 2025, RedotPay launched payments in Brazil after integrating Circle Payments Network into its platform.

The service allowed users to send crypto directly to Brazilian bank accounts, where the assets were automatically converted into Brazilian reais. RedotPay had more than 4 million users when the Brazil service was introduced.

Circle’s network was used to handle the crypto-to-fiat payment process without requiring prefunded accounts between participating institutions. RedotPay CEO Michael Gao said at the time that the Brazil launch was focused on reducing the cost and time involved in payments for users in emerging markets.

The company has since continued building its user base and payment infrastructure while pursuing licenses in jurisdictions where it plans to operate.

For its next expansion, RedotPay has not provided a launch date for its US product. The spokesperson said preparations are underway following the money transmitter license approval, while the company continues to focus on regulatory compliance and business growth.

RedotPay has also not disclosed when it could revive the delayed IPO process or whether its reported discussions with JPMorgan Chase, Goldman Sachs and Jefferies remain unchanged.