In the SEC VS Binance case, a US federal judge rejected the US regulator’s request. Quick decryption: Binance US assets will not be frozen. However, the judge requires the continuation of negotiations between the SEC and Binance’s lawyers. The goal: to set boundaries and solve security problems.
Freezing of Binance assets: the judge rejects the request of the SEC
The SEC VS Binance Case starts June 5 when the US regulator files a complaint against the exchange. The day after the complaint, the SEC requested the freezing of the assets of Binance US, the American subsidiary of the crypto company.
During a audience held in Washington on June 13, the federal judge ruled on the SEC’s request. The Verdict: Binance US Asset Freeze Denied. The judge nevertheless specifies that it is essential for both parties to come to an agreement on the limits and restrictions to be imposed on Binance US. If they manage to reach an agreement, the restraining order would be of no use.
Negotiations are ongoing
During the hearing, the SEC expressed concern that Binance controls enough private key shards to move funds. Its attorneys even point to Binance US history changes regarding how crypto assets and funds are held.
Judge Amy Berman Jackson therefore asked Binance US to provide a list of her business expenses to the court. It also requires the continuation of negotiations between the two parties. She emphasizes the need an agreement on the limits and restrictions to ensure asset security.
Admittedly, the request to freeze the assets of Binance US filed by the SEC was refused. However, the negotiations are still ongoing. One thing is certain: whatever the outcome of this case, it will necessarily affect the crypto market. Recall that the SEC has also filed a lawsuit against Coinbase.
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