Kevin O’Leary Addresses CZ’s Accusations That He Is Liar And Questions The $2.1 Billion Clawback

Shark Tank investor Kevin O’Leary defended his function as a spokesperson for the defunct cryptocurrency exchange FTX in a CNBC interview. O’Leary responded to CZ’s assertion that he was a liar as well.

O’Leary said that Binance CEO Changpeng ‘CZ’ Zhao was accused of lying during his interview before the US Senate Banking Committee on December 14.

O’Leary reiterates Binance’s role in the FTX collapse

O’Leary said during the Senate hearing that FTX’s rival Binance had gone out of business. Binance CZ strongly reacted to the statement and labelled him a liar in a subsequent CNBC interview.

The renowned investor has maintained, however, that Binance’s choice to sell its $550 million worth of FTT coins contributed to FTX’s final death. “You ask anybody why Sam Bankman-Fried or the company was compelled into bankruptcy,” O’Leary remarked. He had no choice because of how the final half-billion was jammed down.

On November 6, Binance said that it would sell off its FTT holdings. Caroline Ellison, a former CEO of Alameda, made the offer to purchase each FTT token for $22. However, the circumstances ultimately led to the  eventual demise of SBF’s crypto empire.

O’Leary proposes Binance’s $2.1B clawback

Kevin O’Leary also mentioned the possibility of a clawback on the $2.1 billion FTX paid to Binance to acquire its shares.

He claimed that if he were a member of the credit committee, he would eagerly anticipate the $2.1 billion clawback since each shareholder must have a say.

He also said that the “Madoff style clawback” may not apply to the payout.

Concerns about a potential clawback from the FTX bankruptcy proceedings were apparently rejected by Binance CEO. But CZ merely offered the evasive response, “We’re financially ok.”

One member of the crypto community on Twitter asked him a Yes/No question regarding the solvency of his company after his response caused a lot of FUD.

Over the past week, Binance has processed billions in withdrawals as community worries about the viability of numerous centralized exchanges grow.

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