binance and its CEO and founder Changpeng Zhao plan to dismiss a Commodity Futures Trading Commission (CFTC) complaint accusing the crypto exchange of violating regulations Commodity Exchange Act and certain related federal regulations.
Binance is scheduled to file its response to the CFTC complaint on July 27 and plans to seek dismissal, according to a court filing filed Monday.
The CFTC sued Binance, the world’s largest company, in March crypto exchangeand Zhao for running what regulators say is an “illegal” exchange and a “sham” compliance program.
In its complaint, the CFTC stated that from at least July 2019 to date, Binance has “offered and executed commodity derivative transactions on behalf of US persons” in violation of US law.
The CFTC and Binance did not immediately respond to Reuters’ request for comment.
Binance and Zhao were also sued by the U.S. Securities and Exchange Commission in June for allegedly running a “net of deception.” Thirteen charges were filed against Binance, Zhao and the operator of its supposedly independent US exchange.
As Reuters previously reported, Binance is also under investigation by the Justice Department for alleged money laundering and sanctions violations.
meanwhile a cryptocurrency Developer’s landmark legal victory against the US Securities and Exchange CommissionSEC) will electroplate Coinbase and other companies to resist the agency’s attempt to assert its jurisdiction over the industry, experts say called.
Thursday’s ruling that Ripple Labs did not violate securities laws by selling its XRP token to exchanges was the first major setback for the SEC in a decade of cryptocurrency industry enforcement. Other crypto firms accused of illegally operating digital asset exchanges are looking for ways to take advantage of the ruling, according to two sources familiar with the matter, who asked not to be named because they are not authorized to speak publicly.
The crypto industry is in a tug-of-war with the SEC and its Democratic chairman, Gary Gensler, who has described the crypto market as a “wild west” filled with fraud. Arguing that most crypto tokens are securities, the SEC has cracked down on crypto trading platforms, including leading US exchange Coinbase, in an attempt to bring the industry under its oversight.
© Thomson Reuters 2023
(This story was not edited by NDTV staff and is auto-generated from a syndicated feed.)
