The federal judge presiding over the lawsuit involving Binance.US, Binance Holdings Ltd., CEO Changpeng Zhao (CZ), and the Securities and Exchange Commission (SEC) has rejected a motion that sought to prevent the SEC from making public statements regarding the case . Judge Amy Berman Jackson of the US District Court for the District of Columbia ruled on June 26 that intervention by the court was unnecessary based on the motion filed by Binance and its affiliates. The motion accused the SEC of issuing misleading statements about the security ies lawsuit , potentially influencing the jury and causing market confusion.
Judge Jackson stated that while attorneys involved in the case must adhere to their ethical obligations, it was unclear whether the court needed to reaffirm this or interfere in any manner. She suggested that it remained uncertain whether the SEC's public relations efforts would have a significant impact On the processings. The complaint Originated from the Sec's June 17 Press Release, in Which the Enforcement Director Claimed that CZ And Binance Had the Ability TO Combine or Transfer Client Assets at Will. misleading and refuted the allegations.
The lawsuit, filed by the SEC on June 5, accused Binance, Binance.US, and CZ of offering unregistered securities to US customers, with Binance failing to register as an exchange or broker-dealer clearinghouse. Initially, federal regulators sought to freeze all assets of Binance.US, but a compromise was eventually reached that only allowed employees of the exchange to access customer funds. While the legal proceedings unfolded in the US, Binance continued its global operations and announced the launch of a regulated cryptocurrency platform in Kazakhstan on June 20. However, the Belgian Financial Services and Markets Authority ordered Binance to cease cryptocurrency trading and custody services on June 23, and there are reports that Binance has withdrawn its application with the Austrian financial regulator.
