Binance CEO Changpeng “CZ” Zhao reportedly declined to pay $40 million to former FTX CEO Sam “SBF” Bankman-Fried for a futures crypto exchange in March 2019, according to an excerpt from Michael Lewis’ book Going Infinite: The Rise and Fall of a New Tycoon.
According to the book, SBF proposed a futures exchange with “zero risk” in case of bad trades with high leverage. Traditionally, a futures exchange allows traders to leverage funds against a small collateral, and the exchange often asks traders to increase collateral if the trade starts to go bad.