The US Securities and Exchange Commission (SEC) has filed a lawsuit against both Binance and CEO Changpeng Zhao for alleged violations of securities laws.
Additionally, this legal action comes after previous regulatory measures were taken against the company by the Commodity Futures Trading Commission. CZ’s exchange has released a statement in response to the recent lawsuit.
JUST IN: #Binance says it's prepared to fight the SEC "to the full extent of the law."
— Watcher.Guru (@WatcherGuru) June 5, 2023
Binance also expressed disappointment in the SEC’s actions
Binance says in response to the SEC lawsuit that the sec has decided to act unilaterally. In its response, the exchange conveyed its disappointment in the commission. The exchange mentioned that, despite actively cooperating with the commission, the SEC decided to act unilaterally.
Binance also stated that it is disheartened by the decision of the commission to move forward with the lawsuit. CZ’s exchange stated that they are ready to defend themselves vigorously.
“Unfortunately, the SEC’s refusal to productively engage with us is just another example of the Commission’s misguided and conscious refusal to provide much-needed clarity and guidance to the digital asset industry,” the exchange mentioned in its statement.
The statement also underlined that the SEC’s real intention is to make headlines. Additionally, the exchange stated that they are prepared to fight it to the full extent of the law.