Hassan Maishera
TL;DR
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Binance.US and SEC have agreed to work out a deal to avoid a full asset freeze.
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The securities regulator sought to freeze Binance.US’s assets after suing parent company Binance and CEO Changpeng Zhao.
Binance.US And SEC To Work Out A Deal
Binance.US, the U.S.-based entity of crypto exchange Binance, is set to work out a deal with the United States Securities and Exchange Commission (SEC) to avoid a complete asset freeze.
This is according to a report by Bloomberg News. The report revealed that U.S. District Judge Amy Berman Jackson said the two sides are not far apart. The judge referred them to a magistrate judge to work out a deal to avoid a full asset freeze.
This latest development comes a week after the SEC asked for a temporary restraining order to freeze Binance.US assets
The SEC filed the suit in the the D.C. District Court, asking for approval to freeze assets tied to BAM Management US Holdings and BAM Trading Services, the holding and operating firms for Binance.US.
During the hearing in Washington on Tuesday, Judge Jackson stated that
"Shutting it down completely would create significant consequences not only for the company but for the digital asset markets in general.”
The judge added that she wouldn’t decide on the asset freeze until the work with the magistrate court is done.
The US SEC filed a lawsuit against Binance.US and its parent earlier this month, citing major malfeasance and legal violations. The regulatory agency argues that the crypto exchange’s breach of securities laws should result in prohibiting the company from doing further business in the country.
