Top 10 Facts We Know After the SEC Sued Binance
The SEC initiated legal proceedings against Binance and CZ. The SEC alleges that both parties violated federal securities laws. Let’s see what we know so far…
📌The SEC finally admitted it qualifies crypto assets like $BNB, $BUSD, $SOL, $ADA, $MATIC, $FIL, $ATOM, $SAND, $MANA, $ALGO, $AXS, and $COTI as investment contracts, falling under the category of securities.
📌The crypto community is 100% supporting CZ and Binance. In millions of tweets, articles, and videos, hundreds of thousands of people have expressed their support for the biggest crypto exchange in the world.
📌The SEC has officially set a precedent of going after crypto exchanges for violating federal securities laws. Now, it’s a matter of time till Coinbase, Crypto.com, Gemini, and more will be served with lawsuits alleging illegal security trading activities.
📌Gary Gensler forgot that just a few years ago he was teaching that 75% of the crypto market was NOT a security EVEN in the US. Now, almost all top coins are securities according to the lawsuit filed against Binance.
📌Binance enjoys support not only from the community but also from prominent companies and individuals. FBG Capital demonstrated its support by depositing 44M $USDT into Binance. Additionally, NFT whale machibigbrother.eth showcased its backing by transferring all BAYC and MAYC tokens to Binance, amounting to nearly 2,900 $ETH.
📌Binance will fight the lawsuit to the full extent of the law. Due to its size, Binance has now become an easy target caught in the center of the regulatory tug-of-war in the United States.
📌This is a clear action against the WHOLE crypto industry, not just Binance, and CZ. Keep in mind that till the moment, the US regulators are not providing ANY clear guidelines for our industry. And yet accusing the key players for not following the rules which do not even exist in the first place!
📌No major withdrawal waves from Binance have been registered. Interestingly enough, user balances are increasing actually, showing only support and trust in the platform. Binance is no FTX, and the Crypto Community is 100% trusting CZ.
📌The SEC deliberately excluded $ETH from the list of "securities." They are aware that they would encounter resistance from well-funded supporters of ETH, such as Coinbase, and made a conscious decision to overlook it. Nevertheless, it should be recognized that Binance is no pushover
📌The SEC's actions against Binance suggest an alignment with the interests of established financial institutions that view cryptocurrencies as a challenge to their authority. This attack on Binance not only hampers the freedom and innovation of cryptocurrencies, but also raises concerns about the SEC's role as a tool used by traditional banks to stifle the expansion of digital currencies.
It the end, this is just another small bump on our way toward decentralization and mass crypto adoption. The industry will survive and thrive, and so will Binance...
