Binance Responds to SEC's Regulatory Methods, Emphasizes the Risk to Financial Advancements
In Brief
Binance has reacted to the lawsuit filed by the SEC.
The cryptocurrency exchange asserts that it has been partaking in constructive dialogues with the SEC in hopes of addressing the inquiries.
Binance claims that the SEC's recent actions could jeopardize America's position as a leader in financial innovation and technology.
Binance has issued a response regarding the SEC's allegations against the crypto exchange on Monday The claims suggest that the exchange has been facilitating trading on unregistered platforms, potentially jeopardizing billions of dollars in U.S. investor capital.
In an official response, Binance criticized the SEC for filing the lawsuit unilaterally, claiming it seeks to impose rapid regulations on the crypto market. Binance stated that it has attempted to engage with the SEC constructively, but has faced a lack of cooperation.
Binance urged the regulatory agency to adopt a more considerate and well-informed strategy when dealing with the rapidly evolving and intricate world of cryptocurrencies.
The exchange pointed out that the SEC's unilateral categorization of certain tokens and services as securities, despite competing jurisdiction claims from other U.S. bodies, complicates the ongoing struggles within the crypto industry and fails to provide a robust supervisory framework.
Binance believes that the SEC's actions could potentially jeopardize the U.S.'s standing as a pioneering force in financial innovation. With digital asset regulations still in developmental stages worldwide, the exchange contends that an approach focused solely on enforcement is not the optimal path forward. A collaborative, clear, and strategic policy engagement is what's needed, a direction that Binance feels the SEC has neglected.
The exchange firmly stated that claims concerning the safety of user assets within the Binance.US platform are entirely unfounded. They assured that all assets held by users on Binance and its affiliated platforms are secure and emphasized that there was no valid reason for the SEC's actions, given the ample opportunity the Commission had to conduct its investigation. Binance committed to robustly defending itself against any opposing claims.
“Based on recent events, it's apparent that the SEC's true intent wasn’t to safeguard investors; had it been so, they would have engaged with us regarding the facts to illustrate the safety of the Binance.US platform. Instead, it seems the SEC’s main goal is to grab headlines,”
Binance said in a statement.
Binance reiterated its commitment to cooperating with regulatory authorities within the United States and globally.
The recent lawsuit against Binance has sparked considerable discussion on Crypto Twitter, particularly concerning comments made by SEC Chair Gary Gensler. tweet Many users took to social media to express their discontent, responding with a wave of humorous clown memes and emojis directed at Gensler's statements.
Some users on Twitter highlighted Gensler's track record, especially regarding his previous statements and decisions. “shilled” Algorand in 2019 SEC has amplified its efforts in the realm of cryptocurrency enforcement to combat the rising tide of cybercrime. lost 94% of their investments .
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Disclaimer
In line with the Trust Project guidelines Cindy, a journalist with Metaverse Post, reports on web3, NFTs, metaverse, and AI topics, focusing on interviews with key players in Web3. She has conducted over 30 interviews with C-level executives, sharing their valuable insights with the audience. Originally hailing from Singapore, Cindy now resides in Tbilisi, Georgia. She holds a Bachelor's degree in Communications & Media Studies from the University of South Australia, boasting a rich experience of ten years in journalism and writing.