Binance Just Filed a Protective Order Against US SEC

By Kwame
Published 16/08/2023
Binance Bites Back

"The SEC has still yet to identify any evidence suggesting that customer assets were misused or dissipated in any way," -- quote from the filing.

Binance Just Filed a Protective Order Against US SEC

On Monday 14th, Binance sought a court order against the Securities and Exchange Commission (SEC), arguing that the regulator’s information requests were “over broad” and “unduly burdensome”. Binance US’ operator BAM Trading and BAM Management stated in a court filing in the US District Court of Columbia that they had already furnished adequate information to the regulatory body.

The protective order aims to restrict the SEC to four depositions from BAM employees, while also requesting the removal of depositions for BAM’s CEO and CFO (unnamed in the order).

In June, the SEC filed a lawsuit against Binance and CEO Changpeng Zhao, alleging a “web of deception”, regarding their operation. The suit included 13 charges, such as artificially inflating trading volumes, redirecting customer funds, inadequate restrictions on U.S. customers, and misleading investors about market surveillance controls.

Both the SEC and Binance refuse to comment but the SEC rejected BAM’s suggestions for substantial limitations on its requests and opposes the motion for a protective order, as stated in the filing.