Cryptocurrency exchange Binance has won at least one aspect of the ongoing legal battle against the U.S. Securities and Exchange Commission (SEC). U.S. District Judge Amy Jackson has ruled in favor of Binance, granting permission for its American unit to retain all assets in the United States, despite the SEC’s plea for a broad-based asset freeze.
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Plus, the judge ordered that Binance keep all its regular expenses under control. In a previous court hearing, the SEC was unable to provide evidence to support their claim that Binance’s U.S. assets were being transferred out of the country.
The order also restricts Binance Global and founder Changpeng Zhao from controlling or monitoring any of the U.S. customer assets. Additionally, the judge asked Binance U.S. to launch new crypto Wallets and transfer all the U.S. assets into them within 14 days of the consent order.
Moreover, the judge ordered that the crypto trading platform can allow customer withdrawals from U.S. accounts while the SEC works “to resolve the alleged underlying misconduct and hold Zhao and the Binance entities accountable for their alleged securities-law violations,” said the SEC’s Director of Enforcement.
SEC’s Whiplash on Crypto Firms
The SEC is tightening its control over the misuse of customer funds by global crypto players. Earlier this month, the SEC sued Binance.US, Binance, and its CEO, Changpeng Zhao, for alleged securities violations. Rival crypto exchange Coinbase Global (NASDAQ:COIN) is also facing the SEC’s scrutiny.
Meanwhile, Binance is strengthening its legal team to fight the SEC by hiring top talent, including former co-director of the SEC’s enforcement division, George Canellos.
Has BNB-USD Got a Future?
Binance Coin (BNB-USD), Binance’s native currency, has lost over 29% in the past three months alone owing to the ongoing whiplash. Having said that, the currency may hold up well once the legal battle is over and could return to levels seen in 2022, around $330, implying an impressive upside potential.
