News

BNB Drops Over 10% After Binance Was Sued By SEC

Key Points:

  • The price of BNB declined immediately after Binance exchange was sued by the SEC.
  • Binance failed to register as a securities exchange and operated unlawfully in the United States, according to the agency.
  • The SEC is seeking a permanent injunction against Binance and CZ from engaging in any additional actions.
Binance‘s BNB token has hit its lowest level since March 13 in the wake of news that the U.S. Securities and Exchange Commission had sued the crypto exchange.
BNB Drops Over 10% After Binance Was Sued By SEC 3

According to TradingView data, BNB is currently trading at $278, down more than 10% on the day because of this news. This is the first time in 2 months that BNB is under $300.

BNB Drops Over 10% After Binance Was Sued By SEC 4

As Coincu reported, the SEC is accusing Binance of operating an illegal stock exchange, among other things.

Binance was charged with 13 counts, including unauthorized offers and sales of the BNB (BNB) and BUSD coins, the Easy Earn and BNB Vault products, and its staking program. Furthermore, the SEC claims that Binance failed to register its Binance.com platform as an exchange or a broker-dealer clearing agency. It further stated that Binance and BAM Trading did not register Binance.US as an exchange, broker, or clearing agency. CZ was accused of being a “controlling person.”

The SEC is seeking a permanent injunction against Binance and CZ, as well as disgorgement of ill-gotten earnings with interest and financial penalties.

The lawsuit means that tokens traded on the Binance market constituted securities. BNB, BUSD, SOL, ADA, MATIC, FIL, ATOM, SAND, MANA, ALGO, AXS, and COTI are the tokens involved.

The SEC further claims that Binance.US misled regarding market manipulation prevention and enabled wash trading by an unnamed market making trading entity controlled by Zhao.

Binance CEO Changpeng Zhao responded to information regarding the exchange:

“Our team is all standing by instructing systems are stable, including withdrawals, and deposits. We will issue a response once we see the complaint. Haven’t seen it yet. Media gets the info before we do.”

DISCLAIMER: The information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your research before investing.

Join us to keep track of news: https://linktr.ee/coincu

Harold

Coincu News

Harold

With a passion for untangling the complexities of the financial world, I've spent over four years in financial journalism, covering everything from traditional equities to the cutting edge of venture capital. "The financial markets are a fascinating puzzle," I often say, "and I love helping people make sense of them." That's what drives me to bring clear and insightful financial journalism to the readers of Coincu.

Recent Posts

Best Cryptos to Invest in December 2024: Qubetics Surges Past $2.6M as Solana Records Big Whale Pump and Polkadot Aims for $6

Best Cryptos to Invest in December 2024: Qubetics surges past $2.6M, Solana’s whale pump ignites…

18 minutes ago

Bitcoin Trader Turned $100M in His 20s—Now Reveals 5 Altcoins to Build a $50M Portfolio, With Memecoins Leading the Way!

As Bitcoin reaches unprecedented heights and the market surges, he's highlighting five altcoins poised for…

2 hours ago

Which Crypto Will Explode in the 2024-2025 Bull Run?

With the crypto market reaching new peaks, many are eager to discover digital currencies poised…

2 hours ago

Dogecoin and Shiba Inu Approach $1, but All Eyes Are on XYZVerse’s Push to $10!

XYZVerse, blending sports passion with meme energy, is set to make a significant impact, uniting…

2 hours ago

Will Bitcoin Crash or Soar Past $105K in 2024?

Will Bitcoin Crash?" seems to be one of the most controversial questions, as the price…

3 hours ago

The Best Crypto for Passive Income? 10% Weekly Gains and 20% Final Surge—Qubetics Mirrors Cosmos’ Early Success!

There’s always that one coin people wish they hadn’t overlooked. For many, Cosmos ($ATOM) is…

4 hours ago

This website uses cookies.