Binance Strikes Back! Binance's lawyers file lawsuit on 6/12 to resist freeze, opposing SEC's requested temporary restraining order.

According to the opposition filed by Binance and other related defendant companies on 6/12, in response to the temporary freeze injunction application by the SEC, Binance has submitted its opposition. Learn more about the SEC's injunction against Binance here.

Binance Strikes Back! Requests US Court to Dismiss SEC Freezing Request

The SEC recently filed Temporary Restraining Orders (TRO) with the US court, seeking to further freeze Binance's assets in the US to prevent the destruction, alteration, or concealment of relevant records by Binance US and other related companies.

Binance submitted its opposition on 6/12, requesting the court to reject the SEC's application. Former SEC lawyer John Reed Stark commented that tomorrow's court session will be an exceptionally intense battle. Judge Amy Berman Jackson will decide whether billions of dollars in Binance-related assets will be repatriated.

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Freezing Binance's US Assets Could Affect International Binance

It is believed that John Reed Stark used the term "billions of dollars" because he thinks it could affect the assets of Binance.com, the international version of Binance.

Reviewing the SEC's freezing request, the document indicates that freezing the legal currency and cryptocurrency assets of Binance's US-related companies includes any hardware wallets, devices, or software containing private keys related to Binance US users.

Given that the SEC's allegations involve serving US VIPs using the international version of Binance, if the court believes there is a connection between Binance US users and the funds of the international version of Binance, it could have implications.

Reasons Why Binance Seeks Court to Not Freeze Assets

Binance states that the asset freeze requested by the SEC is unreasonable, illogical, and a waste of resources.

Binance has already agreed with the court to prevent the transfer of related assets to Changpeng Zhao personally and Binance Holdings. It is unnecessary to request asset freezing within 10 days, as it would be catastrophic for BAM, the Binance US-related company.

Binance has offered solutions to achieve the SEC's objectives without the need for freezing:

• Repatriation of assets and return of private keys to the US
• Only BAM company can own and control user assets
• Retention of documents and information
• Accounting reconciliation
• Terms to expedite discovery operations

Binance Believes Many SEC Allegations Are Baseless

Binance points out several unreasonable aspects of the SEC's accusations in the lawsuit to support the argument that the freezing order is not justified:

• The SEC made incorrect statements in obtaining the temporary restraining order
• The SEC's argument that BAM company provides securities trading and transaction clearing services has not been established