Binance To File Motion To Dismiss CFTC Complaint

TL;DR

• Crypto exchange Binance is set to file a motion to dismiss the CFTC’s suit against it.

• The CFTC sued Binance and its founder for operating a derivatives trading platform in the United States.

Binance Wants The CFTC’s Case Thrown Out

Binance, the world’s leading cryptocurrency exchange by daily trading volume, has revealed that it intends to ask a court to throw out the  Commodity Futures Trading Commission’s (CFTC) suit against it.

This is according to a new filing on Monday. In March, the CFTC sued Binance, its founder Changpeng Zhao and compliance officer Samuel Lim, for allegedly operating a derivatives trading platform in the United States and directed its American employees to hide their locations to avoid restrictions. 

The cryptocurrency exchange has been in trouble with regulators in recent months. Last month, Binance was sued by the Securities and Exchange Commission (SEC), with the SEC asking for a temporary restraining order to be placed on all funds deposited at Binance.US, the cryptocurrency exchange’s American unit.

However, the restraining order wasn’t implemented, and Binance.US and the SEC agreed to a deal that would see Binance.US’s assets and servers kept under the control of its staff in the United States. 

Binance did not specify the reason why the CFTC’s suit should be dismissed. The crypto exchange only requested that it exceeds the standard 15-page limit due to the complexity of the case. Binance’s Lim is also working to file a motion to dismiss the case.