Binance.US Rejects SEC’s Request for Depositions
Binance.US, the American arm of cryptocurrency exchange Binance, has filed a motion in court rejecting the US Securities and Exchange Commission’s (SEC) request for depositions. The motion argues that the SEC’s demands are excessive and that there is already ample evidence provided by staff members with direct knowledge of the matter.
Resignation of Binance US CEO
Following the court filing, Brian Shroder, President and CEO of Binance US, resigned from his position. While the reason for his departure remains undisclosed, Norman Reed, Chief Legal Officer, has been appointed as interim CEO.
Layoffs at Binance
In response to the legal battle with the SEC, Binance announced the termination of over 100 employees, which accounts for approximately one-third of its workforce. CEO Changpeng Zhao blamed the SEC’s actions for these layoffs and accused the commission of hindering the industry and impeding job creation and innovation in America.
SEC Charges Against Binance
The legal dispute between Binance and the SEC began in June when the exchange was charged with 13 violations of US securities regulations. The charges include offering unregistered securities and failing to restrict US investors from accessing its platform.
Hot Take: Binance.US Pushes Back Against SEC’s Demands
Binance.US is refusing to comply with the SEC’s request for depositions, arguing that there is already enough evidence available. The resignation of Brian Shroder as CEO and subsequent layoffs at Binance further highlight the impact of this legal battle. It remains to be seen how this standoff will unfold and whether it will have broader implications for the cryptocurrency industry.
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