Enforcement | Aug 30, 2023

Image: Unsplash/Dayne Topkin

In a recent development that has the crypto community on edge, the U.S. Securities and Exchange Commission (SEC) has made a secretive court filing concerning Binance which has led to speculation and concern about what might be looming for the crypto giant.

Here’s what we know according to Coindesk:

• The SEC submitted a sealed motion in its ongoing case against Binance. This motion allows the SEC to file sensitive or potentially confidential information without making its contents public.
• Accompanying this motion were over 35 exhibits, a declaration from Jennifer Farer, an SEC trial attorney, and a proposed order.

See:  Binance.US Refutes SEC’s Wash Trading Allegations

• Binance, which already faces U.S. accusations of wrongdoing, has yet to comment on this development.
• John Reed Stark, a former SEC official, highlighted the rarity of such a move. He suggested two potential reasons for the SEC’s action: either the SEC is trying to avoid interfering with a criminal investigation by the U.S. Department of Justice, or there are concerns about the safety of a witness or company.
• It’s worth noting that the SEC had previously sued Binance in June, alleging violations of federal securities laws. The accusations revolved around Binance offering unregistered securities in the form of its BNB token and Binance USD (BUSD) stablecoin.

Stark emphasized the unusual nature of the SEC’s recent action, stating that in his extensive experience with the SEC, he cannot recall ever seeking to file a motion or any other court document under seal.

What’s Up With The Secret U.S. SEC Motion Relating to Binance?

In the U.S. SEC/Binance litigation, the U.S. SEC has filed a sealed motion for leave to file documents under seal, according to an SEC court filing late yesterday. Filing a court document “under seal” allows… pic.twitter.com/cmx6gdh2so

— John Reed Stark (@JohnReedStark) August 29, 2023

This development has left many wondering about the implications for Binance and the broader cryptocurrency industry.

The National Crowdfunding & Fintech Association (NCFA Canada) is a financial innovation ecosystem that provides education, market intelligence, industry stewardship, networking and funding opportunities and services to thousands of community members and works closely with industry, government, partners and affiliates to create a vibrant and innovative fintech and funding industry in Canada. Decentralized and distributed, NCFA is engaged with global stakeholders and helps incubate projects and investment in fintech, alternative finance, crowdfunding, peer-to-peer finance, payments, digital assets and tokens, blockchain, cryptocurrency, regtech, and insurtech sectors. Join Canada’s Fintech & Funding Community today FREE! Or become a contributing member and get perks. For more information, please visit: www.ncfacanada.org

• SEO Powered Content & PR Distribution. Get Amplified Today.
• PlatoData.Network Vertical Generative Ai. Empower Yourself. Access Here.
• PlatoAiStream. Web3 Intelligence. Knowledge Amplified. Access Here.
• PlatoESG. Automotive / EVs, Carbon, CleanTech, Energy, Environment, Solar, Waste Management. Access Here.
• PlatoHealth. Biotech and Clinical Trials Intelligence. Access Here.
• ChartPrime. Elevate your Trading Game with ChartPrime. Access Here.
• BlockOffsets. Modernizing Environmental Offset Ownership. Access Here.
• Source: https://ncfacanada.org/secs-sealed-court-filing-raises-eyebrows-for-potential-binance-setback/