US regulators (SEC and CFTC) have both a grudge against Binance. problems ofirregularity pushed them to attack CZ’s crypto exchange in US courts. According to the latest news, Binance is preparing for a new attack. This time it’s the turn of US Department of Justice to load the most popular crypto platform in the world. But…
DOJ holds back from attacking Binance
Binance is not one to let go in court. When he feels threatened, he does not hesitate to show his fangs. The Securities and Exchange Commission and the Commodity Futures Trading Commission are no strangers to the modus operandi of the Binance legal team : the request dismissal of the complaints filed.
” The US Department of Justice is considering indicting crypto exchange Binance for fraud, Semafor reported, citing people familiar with the matter. »
According to Semaforthe DOJ is preparing to sue Binance for fraud. But after careful consideration, federal prosecutors decided to back down.
The reason ? In the event of an attack on the first exchange in the world, the crypto industry will fall. Because such an initiative will not spare a FTX fiasco remake. And in the end, it will be the consumers who will pay the price.
People familiar with the case have argued that these prosecutors fear ” a liquidation of the exchange similar to that which affected the now bankrupt FTX platform, causing a loss of money for consumers and risking panic in the cryptocurrency markets “.
Speaking of FTX, we would agree to mention that the team has just come up with a plan to restructure the said company.
Correct instead of bleed to death
Instead of putting Binance down, prosecutors considered other options: fines, postponement or non-prosecution agreementsetc.
So much to make CZ and his whole team responsible for his ” criminal behavior than facing an FTX bis scenario.
Moreover, the regulatory vagueness in the cryptocurrency sector handicaps any large-scale attack initiative against the exchange.
At this time, consumers, employees and shareholders are also not spared from risks of traditional banks collapsing. Precipitating Binance’s collapse would only make matters worse. Knowing that the crypto exchange FTX gobbled up almost 32 billion owned by innocent investors. The wounds caused by Lehman Brothers in 2008 also have not yet healed.
By pure systemic reasoningreproducing these misfortunes would lead to the disappearance of several billion dollars belonging to people aware (or not) of the risks incurred on Binance.
Nouriel Roubini, the economist who predicted the housing crash of 2007-2008, is counting on an eradication of cryptocurrencies, including Binance’s BNB. ” These people should get out of here “, he advised.
In short, the United States, through this action by the DOJ, is closely monitoring the crypto-sphere. But the fear of the fall of traditional finance, and the dollar with it, does not allow them to make rash decisions. Donald Trump and Robert Kennedy, are they right to bet on bitcoin to save their country?
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