Tension has continued to heighten in the crypto industry amidst a regulatory tussle between SEC and Binance. On June 5, Security and Exchange Commissions (SEC) sued Binance US in court over violation of US security laws. SEC prayed that the court temporarily freezes the two US Binance accounts for allegedly running secret units without SEC authority. In the official report released by the SEC, the agency claims it is doing this to protect customers' assets.
"The Securities and Exchange Commission today filed an emergency action application seeking a temporary restraining order freezing assets, directing defendants to repatriate assets held for the benefit of customers of the Binance.US crypto trading platform, and seeking other emergency relief against Binance Holdings Limited, BAM Trading Services Inc., BAM Management US Holdings, Inc., and their founder, Changpeng Zhao, to ensure that Binance.US customers’ assets are protected and remain in the United States through the resolution of the SEC’s pending litigation of this matter."
This recent development has posed a potential uproar forcing crypto traders to lose confidence in Binance and other exchanges. In a recent report released by DeFillama data, more than $78 million has been withdrawn from Binance by customers in the last 48 hours despite safety assurance from Binance team.
Customers assets are safe in Binance
Despite the ongoing legal tussle between SEC and US Binance, Binance exchange services remain in operation.
In a recent Tweet, Binance.US berates SEC for invoking public unrest in what it called "legal maneuvering" and "regulation by enforcement". Binance.US urges its customers that "users' assets remain safe and secure and continue to be fully operational".
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