1. BITBILIHome
  2. Article

Former SEC Official Joins Binance.US Legal Team Amid Lawsuit Challenges

• 210 views

TL;DR Breakdown

  • Binance.US hires former SEC enforcement official George Canellos to strengthen its legal defense against allegations of operating as an unregistered securities exchange.
  • The company vehemently denies the allegations, criticizes the SEC’s aggressive tactics, and suspends U.S. dollar deposits due to the regulatory actions’ potential impact on its business.

Binance.US, a United States-based cryptocurrency exchange, has made a strategic move to bolster its legal defense amid ongoing allegations of operating as an unregistered securities exchange. The company has reportedly hired George Canellos, a former enforcement co-director of the U.S. Securities and Exchange Commission (SEC), to join its legal team. Canellos, currently affiliated with the international law firm Milbank LLP, brings extensive experience and expertise in securities enforcement. This development comes as Binance.US faces legal challenges and strives to protect its assets from potential freezing.

Binance.US Responds to Allegations and SEC Lawsuit

In a recent court filing responding to the lawsuit initiated by the SEC, Binance.US vehemently denied allegations of failing to register as an exchange, broker, and clearing agency. The SEC had raised similar claims against Binance’s global exchange and Coinbase in subsequent filings. The regulatory body sought a temporary restraining order to freeze the assets of Binance.US, which prompted the company to take swift action in defending its operations.

Binance.US argued against the SEC’s motion, asserting that it should be denied as the proposed remedies would have severe consequences for the exchange’s business. The company criticized the SEC’s aggressive tactics, describing them as unduly burdensome and potentially crippling. These developments prompted Binance.US to suspend U.S. dollar deposits and potentially halt fiat withdrawals, citing the SEC’s actions as the main driver behind this decision.

In its court filing, Binance.US strongly refuted the SEC’s allegations of operating as an unregistered securities exchange. The company defended its position, asserting that the SEC’s proposed remedies would inflict significant harm on its business. Binance.US condemned the SEC’s aggressive tactics and subsequently suspended U.S. dollar deposits and potentially fiat withdrawals, attributing these measures to the SEC’s actions.

Industry Backlash and Calls for SEC Chair’s Removal

The SEC’s handling of crypto enforcement has come under fire from both lawmakers and industry leaders who perceive its approach as heavy-handed. Representative Warren Davidson recently introduced a bill calling for the firing of SEC Chair Gary Gensler, aiming to restructure the commission. Davidson’s proposal highlights the discontent within the industry and signals a pushback against what is perceived as overly aggressive regulatory measures.

Former SEC internet enforcement chief John Reed Stark commented on the situation, suggesting that Binance’s decision to hire Canellos indicates the company’s preparation for potential criminal prosecution. Stark emphasized the gravity of the allegations made by the SEC and the Commodity Futures Trading Commission (CFTC), hinting at the possibility of more significant legal consequences if criminal charges were pursued.

The industry backlash against the SEC’s crypto enforcement grows, prompting calls for SEC Chair’s removal. Former SEC official’s hiring by Binance.US suggests preparations for potential criminal prosecution amid serious allegations and legal consequences.

Conclusion

Binance.US has enlisted the support of George Canellos, a former SEC enforcement co-director, to bolster its legal defense team. The company is facing a lawsuit from the SEC, which alleges that it operated as an unregistered securities exchange. In response, Binance.US strongly denied the allegations and criticized the SEC’s aggressive tactics. Concurrently, there has been growing criticism of the SEC’s approach to crypto enforcement from lawmakers and industry leaders. Representative Warren Davidson has called for the removal of SEC Chair Gary Gensler through a proposed bill aimed at restructuring the commission.

Disclaimer. The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.

文章来源于互联网:Former SEC Official Joins Binance.US Legal Team Amid Lawsuit Challenges

Disclaimers:

1. You are solely responsible for your investment decisions and this info is not liable for any losses you may incur.

2. The copyright of this article belongs to the writer, it represents the writer's opinions only, not represents the site's ones. Not financial advice.

Previous 2023年6月16日 01:25
Next 2023年6月16日 02:23

Related articles

  • FedNow launch imminent: Key details finally revealed

    TL;DR Breakdown The U.S Federal Reserve is set to launch FedNow, a service allowing real-time fund transfers 24/7. FedNow will partner with 41 banks and 15 service providers initially, including major and community banks. The system allows direct settlements in central bank accounts, different from intermediary services like PayPal. Description The much-anticipated FedNow service, the product of the U.S. Federal Reserve’s painstaking endeavors, is primed for an imminent launch. Positioned to revolutionize the United States payment system, FedNow promises instant fund transfers 24/7 for all Americans. This major leap forward aims to streamline transactions and put an end to the multi-day waiting period that’s been … Read more The much-anticipated FedNow service, the product of the U.S. Federal Reserve’s painstaking endeavors, is primed for an imminent launch. Positioned to revolutionize the United States payment system, FedNow promises instant fund transfers 24/7 for all Americans. This major leap forward aims to streamline transactions and put an end to the multi-day waiting period that’s been a bottleneck in domestic financial exchanges. Bringing real-time payments to the forefront FedNow’s conception dates back to…

    Article 2023年7月21日

  • Nigeria’s President-elect Bola Ahmed Tinubu criticizes central bank’s interest policy and announces key economic decisio

    TL;DR Breakdown Nigerian President Bola Ahmed Tinubu criticizes the Central Bank of Nigeria’s aggressive interest rate policy, deeming it “anti-people” and “anti-business.” Tinubu announces the scrapping of the fuel subsidy, a long-standing policy that has significantly burdened Nigeria’s finances. Tinubu emphasizes the need for lower interest rates to stimulate investment and consumer spending while also pledging to review the central bank’s currency demonetization policy. In his inaugural address at Eagle Square, Abuja, Nigerian President Bola Ahmed Tinubu expressed his concern over the Central Bank of Nigeria’s (CBN) aggressive interest rate policy, which he deemed “anti-people” and “anti-business.” Tinubu, who was recently sworn in as the country’s president, emphasized the need for lower interest rates to stimulate investment and consumer spending in Nigeria. Lower interest rates for increased investment and consumer spending Tinubu’s remarks followed the CBN’s decision to raise the benchmark interest rate by 50 basis points. The central bank has defended its policy as necessary to combat rising inflation, which reached a 17-year high of 22.22% in April. However, Tinubu, whose presidential campaign focused on reducing unemployment and boosting…

    Article 2023年6月4日

  • Risky business: Curve founder’s massive deposit in Aave sparks concerns for crypto ecosystem

    TL;DR Breakdown Curve’s founder deposits over 33% of CRV tokens into Aave, raising risks for both platforms. Concerns arise over the substantial collateral exposure and lack of deposit limits in Aave V2. Market downturns and shrinking liquidity intensify risks for Curve’s ecosystem and Aave. In a surprising turn of events, the founder of Curve.fi, a decentralized exchange protocol, has deposited over 33% of Curve’s circulating CRV tokens into the popular lending platform, Aave. This move has raised eyebrows among industry experts, posing potential risks to Curve’s ecosystem and Aave. According to reports, the founder took this drastic step after witnessing a 16% drop in the price of CRV tokens. By leveraging their currency, the founder aims to avoid selling at a lower price, seemingly as a hedge against further price depreciation. However, this strategy has its concerns. One of the primary worries stems from the fact that Curve’s founder has now deposited a staggering 290 million CRV tokens, equivalent to approximately $187 million, into Aave. In return, they have borrowed a substantial sum of $71 million in stablecoins. Such considerable…

    Article 2023年6月15日

  • Top crypto tweets of the day – June 2nd

    Contents hide 1 120,000 ETH block calls were traded in a single day 2 Bitcoin re-org 3 Tether USD₮ Reaches All-Time High 4 Singapore’s MAS issues a new notice requiring crypto firms to conduct stricter customer due diligence 5 Circle plans to start issuing native USDC on Arbitrum 6 Marathon mined a record 1,245 bitcoins in May 7 Video recording an immersion-cooled bitcoin mining facility in Norcross 8 Bitcoin on the rise 9 Coinbase Derivatives Exchange to launch BTC and ETH futures contracts for institutions 10 OKX Wallet released the BRC-30 proposal, an enhanced version of the BRC-20 protocol 11 Binance has completed the integration of Tether (USDT) on the Arbitrum One and Optimism networks 120,000 ETH block calls were traded in a single day A whopping 120,000 ETH block calls were traded today, accounting for 53% of total volume and a notional value of $220 million. Giant whales by way of calendar spreads 1) shorting the price 2) shorting the volatility. If ETH fails to break above $2300 at the end of this year… — Wu Blockchain (@WuBlockchain) June…

    Article 2023年6月7日

  • XRP holders rejoice as new legislation could catapult their investments to new heights

    TL;DR Breakdown The XRP community has responded positively to recent efforts aimed at providing much-needed regulatory clarity to the cryptocurrency industry. According to Senator Emmer, the bill seeks to address the regulatory classification of digital assets, offering market certainty to innovators while establishing clear jurisdictional boundaries for regulators. This hearing marks an important step toward initiating discussions on the urgent need for market structure legislation for cryptocurrencies. The XRP community has responded positively to recent efforts aimed at providing much-needed regulatory clarity to the cryptocurrency industry. In May, Congressman Tom Emmer, a proponent of cryptocurrencies, introduced the Securities Clarity Act alongside U.S. Representative Darren Soto. According to Senator Emmer, the bill seeks to address the regulatory classification of digital assets, offering market certainty to innovators while establishing clear jurisdictional boundaries for regulators. One of the key challenges faced by token projects is the lack of differentiation between the asset itself and the securities contract. As a result, once a project becomes decentralized, it remains within the securities framework, limiting its utility and adversely affecting token holders. To overcome this issue,…

    Article 2023年6月8日
TOP