Binance.US prepares for legal battle with SEC! CZ under regulatory scrutiny even after serving jail time, Binance has started to gear up.

Binance.US is preparing for a long legal battle with the U.S. Securities and Exchange Commission (SEC), emphasizing its commitment to compliance and criticizing the agency's enforcement tactics.

Binance US Prepares for Legal Challenge

Binance.US, the United States branch of the global cryptocurrency exchange Binance, is gearing up for a legal showdown with the U.S. Securities and Exchange Commission (SEC). Binance.US has stated that they are prepared for a long legal battle, saying, "Friday's court ruling determined that the SEC's lawsuit against Binance.US will proceed. We are prepared and look forward to progressing through the judicial process."

Facing SEC Charges, Binance US Reaffirms Compliance

The SEC's charges revolve around violations of securities laws, including offering unregistered investment products and engaging in anti-fraud violations. Binance.US reaffirms its commitment to serving U.S. customers while fully complying with U.S. regulations. Binance.US stated, "We maintain a 1:1 ratio for all customer assets and have a robust compliance and risk management program to ensure the security, stability, and integrity of our platform."

Criticizing SEC's Regulatory Approach

Binance.US does not shy away from criticizing the SEC's regulatory approach, calling it "regulation through enforcement." The company attributes its legal challenge to politically motivated actions by the government led by current SEC Chairman Gary Gensler. Binance.US stated, "Unfortunately, like many companies in the industry, we have become victims of politically motivated overreach and regulatory actions through enforcement under the current leadership of the SEC."

SEC's Extended Investigation and CZ's Role

Binance.US stated that after an 11-month investigation, the SEC has still "failed to find any evidence of wrongdoing by Binance.US." The company believes that the SEC's case is "neither factually nor legally sound."

However, in court documents dated June 28, the U.S. court did not dismiss most of the SEC's allegations against Binance.US. The documents also support the SEC's claim that Binance CEO Changpeng Zhao (CZ) acted as a "controlling person," a charge that Binance has sought to dismiss.