Binance.US Asserts Confidence in Legal Battle with SEC
Binance.US has publicly declared its intention to robustly defend itself against the allegations made by the U.S. Securities and Exchange Commission (SEC). This declaration follows a judicial decision that permits the continuation of the SEC’s lawsuit against the cryptocurrency exchange.
Stance on Compliance and Legal Battle
In a recent statement released on the social media platform X, Binance.US articulated its confidence in its legal standing, refuting the SEC’s claims of securities violations. “We have always utilized the limited guidance that the SEC has offered to the crypto industry to operate our business in a compliant way,” the statement read. The company emphasized its ongoing commitment to adhering to U.S. laws and regulations, despite previous conflicts with the regulatory body.
The legal contention centers around the SEC’s lawsuit filed in June 2023 against Binance Holdings Ltd., BAM Trading Services, BAM Management U.S., and the founder Changpeng “CZ” Zhao. Specifically, the SEC’s allegations suggest potential improper access and control over Binance.US customer assets by employees of the global Binance entity outside the U.S. Furthermore, the lawsuit underscores the complexity of regulatory compliance in the evolving crypto landscape, thus highlighting the need for clear guidelines.
Operational Integrity and Security Measures
Binance.US reassured its users of the security and integrity of their platform, stating, “Binance.US said Monday it maintains a 1:1 reserve for all customer assets and operates robust compliance and risk programs.” These measures are designed to safeguard the platform and ensure the security of customer assets.
Criticism of SEC’s Regulatory Approach
Continued Operations Amid Legal Scrutiny
The SEC has yet to respond to these developments.
For more insights into the evolving landscape of cryptocurrency regulations and the implications for exchanges, visit our detailed analysis on Binance vs SEC: A High-Stakes Legal Showdown in Cryptocurrency.
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