The US Securities and Exchange Commission (SEC) and BAM Trading (Binance's US arm) recently filed a request for a consent order to ease some of the restrictions previously imposed by the SEC on freezing the company's assets.
The proposed new consent decree would provide more assurances to the SEC and allow BAM Trading to make salary and other financial commitments. According to the docs: "BAM Trading and BAM Management may continue to pay for the purchase of goods and services, the salaries of BAM Trading and BAM Management personnel, including pre-existing benefits, professional fees, and other similar business operating expenses." The primary stipulation allowing the unfreezing of assets is that Binance shall under no circumstances make any payment or transfer of any assets to or for the benefit of any Binance entity or a person or entity acting on behalf of Binance.
The order further states that Binance CEO Changpeng Zhao cannot access any BAM Trading or Binance.US assets. Following the SEC's lawsuit against Binance and Zhao, the commission filed an urgent court request to freeze BAM Trading's assets. BAM Trading responded by presenting a counterargument, which essentially states that the firm and its attorneys believe that the SEC's underlying rationale for the freeze does not meet the burden of proof required by the court.
As of the publication of this article, the court has not approved the proposed consent order. There appears to be a disagreement on the details between the SEC and Binance, and the court has asked for further clarification. Judge Amy Berman Jackson has given both parties until June 13 at 1:00 pm ET to weigh in and consider any changes before making a decision about the court, according to judge's filing viewed on the Court's Electronic Records Public Access website. . Proposed Consent Order.
