The SEC and Binance US have agreed on client assets.
Recently, the SEC filed a lawsuit to freeze Binance US’s assets and protect client funds. Binance US, which opposed this lawsuit, called for a settlement.
As a latest development, an announcement came from Binance late last day. Binance has announced that a settlement has taken place between Binance US and the SEC. According to this settlement, Binance will not be involved in Binance US assets.
Binance US and SEC to Submit Settlement to Court
The settlement between Binance US and the SEC will go to court as it requires judicial approval.
Earlier, the SEC had expressed concern that Binance US might move assets overseas. Acting on this rationale, the regulatory body requested the freezing of the assets of the US-based stock market. Binance US’s lawyers, on the other hand, called for reconciliation, saying such a decision would amount to a death sentence.
The SEC has taken a conciliatory stance on Binance US. According to the settlement between the SEC and Binance US, no Binance Holdings employees will have access to the assets of Binance US. Thus, there will be a sharp distinction between the global stock market and the US-based stock market. Binance US assets will be moved to wallets inaccessible to employees of the global exchange. In addition, Binance US will submit detailed operating expenses to the SEC in the coming weeks.
District of Columbia District Court Judge Amy Berman Jackson told the parties that there should be common ground rather than any prohibitions.
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