Binance vs SEC Update: SEC Takes Aim at Binance. US Over Ceffu Agreement Violations

The post Binance vs SEC Update: SEC Takes Aim at Binance. US Over Ceffu Agreement Violations appeared first on Coinpedia Fintech News

Binance US finds itself entangled in a web of legal woes that continue to intensify, placing co-founder Changpeng Zhao (CZ) in a precarious position. The exchange faces a litany of charges, including fraud, money laundering, and operating an unregistered securities exchange, among others, which threaten to overshadow its once-soaring success. Nevertheless, Binance US remains resolute in its determination to defend its position in the crypto market and strive for mainstream adoption, buoyed by support from its international community.

SEC Accuses Binance.US of Non-compliance 

The United States Securities and Exchange Commission (SEC) has taken legal action against Binance US, adding to the mounting pressure. In a court filing dated September 14, the SEC, represented by its attorneys, calls for the court to compel the defendants, which include Binance Holdings, BAM Trading Services, BAM Management US Holdings, and Changpeng Zhao, to adhere to consent orders pertaining to expedited discovery provisions.

Significantly, the SEC asserts that the court should require BAM to undertake a thorough search for documents related to Ceffu, its cryptocurrency custody platform. Furthermore, the SEC’s attorneys have pointed out that Binance has thus far only provided incomplete documents, such as screenshots lacking proper signatures, to the court.

The SEC’s court filing highlights its concerns about whether the defendants are in violation of the consent order based on the limited discovery materials provided by BAM. Adding complexity to the case is the recent resignation of top Binance executives, including the Chief Executive Officer and the Chief Legal Officer. It is worth noting that Binance US has countered the SEC’s arguments regarding Ceffu, dismissing them as trivial and characterizing the SEC’s efforts as a futile fishing expedition.