In the ongoing legal battle between Binance, the world’s largest cryptocurrency exchange, and the U.S. Securities and Exchange Commission (SEC), the court has published a report where they clarified which claim will proceed. However, this clarification from the US court has gained significant attention from investors and traders across the world.
U.S. Court Clarifies Focus in Binance vs. SEC Case
On October 17, 2024, the United States District Court released a report where they clarified which part of the Binance’s activities will be investigated.
According to the court ruling, the investigation will focus on key issues such as Binance’s launch of BNB and the token sale since then, the BNB vault program (a program that Binance offers to its BNB holders), Binance BAM trading’s staking program (which provided staking as an investment without proper registration), and Binance’s operations, along with its affiliated companies that run on without proper registration under U.S financial rules.
Additionally, the court has stated that Binance’s ex-CEO, Changpeng Zhao, will remain under investigation regarding these activities.
Which Binance Activity Will Not Under Investigation?
However, the District Court will not investigate other activities of Binance as of now, such as the secondary sale of BNB by non-Binance sellers, Binance’s stablecoin BUSD, its Simple Earning programs, employee compensation through BNB tokens, and others.
This clarification aims to narrow down the focus of the case and allow the investigation to move at pace in these key areas. However, cases not currently on the investigation list may also come under scrutiny if any new claims are approved in the coming days.
