Binance Releases Audit Amid Leadership Changes, Assures 100% Backed Assets

Binance, the world’s largest cryptocurrency exchange, has released its 12th audit, confirming that all customer assets are fully backed. This comes after former CEO Changpeng Zhao pleaded guilty to violations related to the Bank Secrecy Act and agreed to pay over $4 billion to resolve investigations. Despite initial withdrawals, the exchange remains popular with traders.

read more

Binance’s BUSD Faces Decline Amid Regulatory Challenges and Legal Issues

Binance USD (BUSD) has seen a 96% drop in circulating supply due to regulatory issues and dwindling user confidence, causing it to fall out of the top five stablecoins. Amidst legal complexities, including a $150 million fine on Binance’s CEO, Changpeng Zhao, and the classification of Binance as a security by the SEC, Binance has promoted stablecoin substitutes like TrueUSD (TUSD) and First Digital USD (FDUSD). Despite these challenges, Binance continues to innovate, with the future of BUSD and its impact on the Binance network yet to be determined.

read more

SEC Files Motion Against Binance Citing Terraform Labs Case Precedent

The US Securities and Exchange Commission (SEC) has lodged a motion against Binance, the world’s largest crypto exchange, in the US District Court for the District of Columbia. The motion draws parallels between its actions against Binance, Binance US, and its former CEO and founder, Changpeng Zhao, and the Terraform Labs case.The SEC’s filing focuses on Binance’s stablecoin BUSD, its staking-as-a-service, BNB vault, and simple earn programs. The SEC believes that a previous ruling in the Terraform case could influence Judge Amy Jackson to reject Binance’s request to dismiss the case.The SEC alleges that Binance committed similar violations as Terraform by offering and selling its BUSD stablecoin without proper registrations or exemptions. The SEC argues that the Terraform ruling supports their charges that Binance unlawfully engaged in the unregistered offers and sales of securities like BUSD.The SEC also claims that Binance continued to allow high-value US customers to trade on its platform. Furthermore, Binance US, while claiming independence, was allegedly under Zhao’s secret control. If Judge Amy Jackson takes a position similar to Rakoff’s Terraform ruling, it could undermine any motion to dismiss by Binance during the case’s progression.

read more

SEC Cites Terra Ruling in Lawsuit Against Binance, Shaping Crypto Landscape

The US Securities and Exchange Commission (SEC) has filed a notice of supplemental authority in its lawsuit against Binance, citing the judgment in SEC v. Terraform Labs as a key precedent. The SEC argues that the Terra ruling’s interpretation of the “investment contract” definition in cryptocurrency offerings is relevant to the products and services offered by Binance. This legal maneuver is part of the SEC’s increasing scrutiny over cryptocurrency exchanges and their compliance with US securities laws. The outcome of this case, along with the SEC’s case against Coinbase, will shape the regulatory landscape of cryptocurrencies in the United States.

read more

Former Binance CEO CZ Remains Restricted from Leaving Country Ahead of Sentencing

Former Binance CEO Changpeng Zhao, also known as CZ, is still prohibited from leaving the country before his sentencing hearing due to an injunction from a federal judge. The judge sealed the reasons for the second motion, but CZ’s legal team indicated that it involved his child’s medical records. CZ could face up to 18 months in prison as part of a $4.3 billion agreement with US authorities.

read more

Former Binance CEO Denied Travel Request Ahead of Sentencing Hearing

Former Binance CEO Changpeng Zhao, also known as CZ, has been denied permission to leave the United States ahead of his sentencing hearing. The request was denied by a federal judge due to concerns that CZ could be a flight risk. The reasons for the request were sealed by the court, but CZ’s legal team suggested it involved medical information regarding his child. CZ pleaded guilty to one felony count as part of a $4.3 billion deal and could face up to 18 months in prison. He will remain free on a $175 million bond but is restricted from traveling outside the United States.

read more