Binance.US, the American arm of the leading cryptocurrency exchange Binance, is facing a legal battle with the Securities and Exchange Commission (SEC). The SEC has alleged securities law violations against Binance.US, leading to a court case that is progressing despite the exchange’s attempts to dismiss the charges.
On June 28, US District Judge Amy Berman Jackson ruled in favor of the SEC, upholding 10 out of the 13 charges filed against Binance. These charges include allegations related to the initial coin offering, ongoing sales of BNB, staking services, failure to register, and fraud. However, charges regarding secondary BNB sales and the Simple Earn product were dismissed.
In response to the court’s decision, Binance.US expressed confidence in its position and readiness to move forward with the case. The exchange emphasized that the SEC has not found any evidence of wrongdoing during the discovery period and believes that the SEC’s allegations are not supported by the law. Binance stated that it remains committed to defending its operations and compliance with local laws.
Binance.US highlighted its robust compliance and risk programs, which are designed to ensure the safety and security of its platform. The exchange reiterated that it has always operated in accordance with local laws and regulations. Despite the legal challenges, Binance.US remains confident in its position and believes that the court will validate its stance in due course.
The ongoing lawsuit against Binance.US is seen as a demonstration of the SEC’s regulation-by-enforcement approach towards the cryptocurrency industry. Binance.US noted that it has followed the regulator’s limited guidance to the industry and remains committed to working within the regulatory framework. The exchange believes that the current legal dispute is an opportunity to demonstrate its compliance efforts and commitment to regulatory standards.
Binance.US is prepared to continue its legal battle with the SEC and defend its position against the allegations of securities law violations. The exchange remains confident in its compliance measures and believes that the court will ultimately validate its commitment to legal and regulatory standards.