- The organization filed a petition to cancel the regulator’s requirement
- Commission insists on freezing platform assets
- This will actually make it impossible for the further work of the enterprise.
- Ordinary customers of Binance.US will also suffer.
Binance.US has filed a motion to vacate the Securities and Exchange Commission (SEC) requirement to freeze the division’s assets. The company emphasized that the seizure of funds will actually lead to a stoppage of work and cause irreparable damage to both the platform and its customers.
We previously reported that the SEC is seeking a TRO (Temporary Restraining Order) on Binance.US assets. The Commission explained its petition as a desire to protect the interests of investors, since the unit was seen in the misuse of funds.
Binance.US called this requirement unreasonable, assuring users that their assets are SAFU. However, at the same time, the exchange was forced to stop accepting fiat deposits due to problems with the financial service provider.
The June 12 motion says the asset freeze would effectively “put an end” to the venture. The SEC request is called “draconian and overly burdensome.”
It will also keep the parent company behind the division, BAM Trading Services, out of the lawsuit. The firm will lose the opportunity to represent its interests, not to mention the fact that hundreds of clients will lose their funds.
“This is far from the status quo that the court should adhere to” – says in a petition.