SEC Amends Lawsuit, Binance Sees Progress

IconCryptoNewsTerminal Staff30 Jul, 2024

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SEC Amends Lawsuit, Binance Sees Progress

The United States Securities and Exchange Commission (SEC) has asked a court for permission to amend its lawsuit against Binance over third-party crypto securities. The SEC's move signals a change in its strategy and could lead to a broader investigation into Binance's operations. The SEC's original lawsuit, filed in March 2023, alleged that Binance had sold unregistered securities in the form of nine digital assets: SOL, BNB, BUSD, ADA, MATIC, FIL, ATOM, SAND, MANA, ALGO, AXS, and COTI. Binance has denied the allegations, arguing that the tokens in question are not securities. In its amended complaint, the SEC is expected to clarify its definition of "third-party crypto asset securities." This could lead to a broader investigation into Binance's operations, as the SEC could argue that other tokens offered by Binance are also securities. The SEC's move is a significant development in the ongoing regulatory crackdown on the cryptocurrency industry. It is a sign that the SEC is taking a more aggressive approach to regulating digital assets and that Binance could face significant penalties if it is found to have violated securities laws.

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