Binance Faces SEC Lawsuit Over Unregistered Securities, Court Proceeds with Some Claims
The post Binance Faces SEC Lawsuit Over Unregistered Securities, Court Proceeds with Some Claims appeared on BitcoinEthereumNews.com.
In the present moment, the United States Securities and Exchange Commission (SEC) has initiated legal action against Binance, which is one of the most prominent cryptocurrency exchanges in the world. Binance is accused of violating federal securities laws by the Securities and Exchange Commission (SEC) for proposing the sale of unregistered securities and for doing business in the United States in an improper manner. There are a number of allegations that have been made against Binance in this legal proceeding. These allegations include those concerning the company’s staking program, the selling of BNB tokens after the initial coin offering, and infringement of anti-fraud regulations. Some of the claims have been permitted to go on, while others have been rejected by the court that heard them. allegations Allowed to Proceed: Binance’s Staking Program The court has made the decision to go forward with allegations that are associated with Binance’s staking program. Those who participate in this program are able to accumulate incentives by holding certain cryptocurrencies. There will also be a move ahead with claims concerning the sale of BNB tokens following the initial coin offering of the cryptocurrency. In this context, the court will conduct further investigations into the claims made by the SEC. Anti-Fraud breaches: The court has granted permission for the continuation of claims that are linked to anti-fraud breaches committed by Binance. It would seem from this that the Securities and Exchange Commission has provided adequate evidence to back up these charges. “Control Person” Allegation: The court has also opted to go forward with the SEC’s allegation that Changpeng “CZ” Zhao, the former CEO of Binance, took on the role of a “control person” inside the business. Claims Relating to BNB Secondary Market Sales Have Been Rejected by the Court The court has ruled that the claims…
Filed under: News - @ July 1, 2024 10:14 am