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Homepage > News > Business > SEC going down swinging, resumes fights with Binance, Ripple America’s securities regulator shows no sign of backing off its fights with law-flouting ‘crypto’ operators despite uncertainty over how November’s election plays out. On October 16, the Securities and Exchange Commission (SEC) filed a proposed amended complaint in its longstanding legal fight with the parent companies of the Binance digital asset exchange, its U.S. offshoot Binance.US, and Binance founder Changpeng ‘CZ’ Zhao. (For simplicity’s sake, we’ll refer to the defendants as ‘Binance’ going forward.) The SEC filed its suit over a year ago, charging the companies with selling unregistered securities, masking manipulative trading on Binance.US, and allowing U.S. customers to illegally access the Binance.com site. The SEC accused Binance and CZ of perpetrating “an extensive web of deception, conflicts of interest, lack of disclosure and calculated evasion of the law.” The SEC previewed the gist of the 201-page amended complaint last month, seeking to “address the factual pleading deficiencies” in the June 28 ruling by Judge Amy Berman Jackson of the U.S. District Court for the District of Columbia and to “further address certain defense arguments challenging the SEC’s claims.” That June ruling saw Berman decline Binance’s motion to dismiss the bulk of the SEC’s charges, although she did dismiss the charge that Binance’s role in the (now defunct) BUSD stablecoin partnership with Paxos Trust represented an investment contract between the exchange and its customers. Berman also partially dismissed charges related to Binance’s initial coin offering (ICO) of its in-house BNB token and the post-ICO ‘secondary’ sales of BNB to customers on exchanges. Regarding the latter charge, Berman cited a different federal court’s ruling that ‘secondary’ sales of Ripple Labs’ XRP token on exchanges didn’t violate securities law. In response, the SEC’s amended complaint builds…

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Filed under: News - @ October 22, 2024 11:22 am