Legal Battle between Binance.US and the SEC
Binance.US is ready to defend itself against the US Securities and Exchange Commission as the legal battle continues. The regulatory agency’s case against the crypto exchange has been allowed to proceed by a court ruling.
Binance.US Stands Firm Against SEC
In a statement released, Binance.US, the US arm of Binance, emphasized that they are committed to fighting back. The exchange highlighted its efforts to comply with the limited guidance provided by the SEC in operating within regulatory boundaries. Binance.US criticized the SEC for its enforcement tactics and accused the agency of political motives under its current leadership.
- The company ensures 1:1 reserves for all customer assets.
- Strong compliance and risk programs are in place for platform security.
“We remain confident that the SEC’s case lacks factual and legal support. The Commission is overstepping its authority, and we believe the court will affirm our position.”
SEC Lawsuit Against Binance
Last year, the SEC filed a lawsuit against Binance Holdings Ltd., BAM Trading Services, BAM Management US, and founder Changpeng Zhao. The allegations centered around violations of US securities laws. The SEC claimed that employees from the global Binance entity outside the US could potentially access and control Binance.US customer assets.
- Binance refutes any evidence of misconduct during the 11-month discovery process.
- The exchange challenged the SEC’s jurisdiction over foreign crypto transactions.
Despite Binance’s arguments, Judge Army Berman Jackson ruled in favor of the SEC, allowing most of the lawsuit to proceed. Out of the 13 counts, 10 will move forward entirely, while two will have partial proceedings, and one will be dismissed.
Hot Take: Binance.US Remains Resilient
As the legal dispute with the SEC unfolds, Binance.US continues to stand its ground in the face of regulatory pressure. The exchange’s commitment to compliance and security remains unwavering as it navigates through the challenges posed by the lawsuit.
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