The post U.S. SEC Requests Court Investigation into Binance.US Over Document Compliance appeared first on Coinpedia Fintech News

In a legal document submitted on Monday, the U.S. Securities and Exchange Commission (SEC) has asked a D.C. court to allow an investigation into Binance US This is because they believe Binance.US hasn’t provided the documents the SEC needs for their ongoing legal case.

Back in June, the SEC sued Binance US, the company that owns it (Binance Holdings), and its founder Changpeng “CZ” Zhao. They claimed these entities were running a securities exchange without the proper license. 

“BAM insists that this Court, like the SEC, should accept packaged counsel narratives, carefully drafted declarations, and small curated sets of documents regarding control of BAM’s customers’ assets, and that any lingering concerns are ‘much ado about nothing,” a part of the filing read. 

The SEC also talked about the slew of resignations that followed this week from Binance US. CEO Brian Shroder, Krishna Juvvadi (head of legal) and Sidney Majalya (chief risk officer) recently left the company.

The SEC commented, “The accelerating mass exodus of BAM employees, now including its CEO and others who may possess crucial information regarding the custody, control, and availability of assets, further underscores the urgent need for expedited discovery into these issues now.”

The regulatory body has also expressed concerns about Binance.US using wallet custody software called Ceffu, which is supplied by Binance Holdings Ltd, the global entity. The Commission has noted that Binance.US provided inconsistent statements regarding Ceffu and Binance’s role in wallet and customer funds management.

Amid all the chaos, trading activity on Binance.US has hit rock bottom this month. On September 16, only about $5 million was traded, as reported by Amberdata on The TIE Terminal. It was even worse on September 9 when the volume dropped to just $2.97 million, a big drop from the $230 million traded a year ago.

The post U.S. SEC Requests Court Investigation into Binance.US Over Document Compliance appeared first on Coinpedia Fintech News

In a legal document submitted on Monday, the U.S. Securities and Exchange Commission (SEC) has asked a D.C. court to allow an investigation into Binance US This is because they believe Binance.US hasn’t provided the documents the SEC needs for their ongoing legal case.

Back in June, the SEC sued Binance US, the company that owns it (Binance Holdings), and its founder Changpeng “CZ” Zhao. They claimed these entities were running a securities exchange without the proper license. 

“BAM insists that this Court, like the SEC, should accept packaged counsel narratives, carefully drafted declarations, and small curated sets of documents regarding control of BAM’s customers’ assets, and that any lingering concerns are ‘much ado about nothing,” a part of the filing read. 

The SEC also talked about the slew of resignations that followed this week from Binance US. CEO Brian Shroder, Krishna Juvvadi (head of legal) and Sidney Majalya (chief risk officer) recently left the company.

The SEC commented, “The accelerating mass exodus of BAM employees, now including its CEO and others who may possess crucial information regarding the custody, control, and availability of assets, further underscores the urgent need for expedited discovery into these issues now.”

The regulatory body has also expressed concerns about Binance.US using wallet custody software called Ceffu, which is supplied by Binance Holdings Ltd, the global entity. The Commission has noted that Binance.US provided inconsistent statements regarding Ceffu and Binance’s role in wallet and customer funds management.

Amid all the chaos, trading activity on Binance.US has hit rock bottom this month. On September 16, only about $5 million was traded, as reported by Amberdata on The TIE Terminal. It was even worse on September 9 when the volume dropped to just $2.97 million, a big drop from the $230 million traded a year ago.