Binance Financial News

The United States Securities and Exchange Commission (SEC) has filed charges against Binance, its U.S.-based exchange entity and its CEO, Changpeng Zhao, for violating securities laws. 

It's not been a good day for Coinbase (COIN) so far: The crypto exchange is being sued by the U.S. Securities and Exchange Commission (SEC), ten state regulators have the company in their sights, and Coinbase stock has dropped almost 14% in early trading.

The SEC’s latest complaint against Binance could point to why former Binance.US CEO Brian Brooks chose to step down in August 2021, only three months after his appointment.

Atomic Wallet, a mobile and desktop crypto wallet allowing users to store various cryptocurrencies, has experienced a security breach and lost over $35 million in crypto assets since June 2. ZachXBT, an on-chain investigator, has been collecting transactions of funds stolen from Atomic Wallet victims and claimed that over $35 million in cryptocurrency has been stolen as a result of this compromise. «A new largest victim was found on Tron with 7.95M USDT stolen. The five biggest losses account for $17M,» ZachXBT tweeted. «My graph has now surpassed $35M in total stolen,» it added. Cryptocurrency exchange Binance, too, highlighted the issue in a note published on its website

Disclaimer: The text below is a press release that is not part of  Cryptonews.com  editorial content.

Binance Holdings Ltd., and its US affiliates, are being charged by the US Securities and Exchange Commission for multiple offenses, months after being charged separately by another US regulator. 

Binance announced in May that it would delist so-called “privacy coins” such as Monero (XMR), Zcash (ZEC) and others in several countries, including France, Italy, Spain and Poland. The decision underscored the reality that some companies might step over their own feet to ban privacy tech — even where it is legal — out of a combination of risk aversion and compliance confusion.

Binance executive was the main operator for five bank accounts belonging to the giant cryptocurrency exchange's purportedly independent U.S. affiliate, including an account that held American customers' funds, bank records show. U.S. lender Silvergate Bank authorized the executive, Guangying Chen, a close associate of Binance CEO Changpeng Zhao, to operate the accounts in 2019 and 2020, according to records from those years. This allowed Chen and her deputies to move funds held in the bank accounts. Employees at the affiliate, Binance.US, had to ask Chen's team to process payments, even to cover the firm's payroll, company messages show. The new findings offer further detail into how Binance exercised tight control over Binance.US, despite both firms maintaining that they have always operated independently. The previously unreported bank records and messages show that Binance's management over the U.S. business's finances extended across its bank accounts at Silvergate and detail how this secret access was granted. Binance.US has denied that Binance ever operated its bank accounts. Its head of legal, Krishna Juvvadi, told in April that employees of Binance.US's operator, BAM Trading, had «exclusive control» since its founding in 2019.

The Securities and Exchange Commission has sued crypto trading platform Binance and its founder Zhao Chanpeng over more than a dozen charges, including misusing customer funds.

Bitcoin’s price declined 5% in one hour on June 5 after the United States Securities and Exchange Commission (SEC) filed a lawsuit against Binance on allegations of violating federal securities laws. Even though the $25,500 support held for Bitcoin, investors are still digesting the potential impacts of the regulatory action, which also involves Binance CEO Changpeng “CZ” Zhao.

The price of Bitcoin has experienced a decline of 4.50% in the last seven days as mixed market sentiment continues to impact its performance. 

Crypto investors pulled $791.6 million from the crypto exchange Binance in 24 hours, crypto research firm Nansen said Tuesday, after U.S. regulators unveiled 13 securities charges against the company and its founder Changpeng Zhao.

The crypto market experienced a shockwave as the US Securities and Exchange Commission (SEC) recently filed a lawsuit against Binance, the world's largest cryptocurrency exchange, naming Cardano (ADA) as an unregistered security - shifting the Cardano price prediction over night.

The price of Ethereum (ETH) has dropped by 3% in the past 24 hours, slipping to $1,816 as the cryptocurrency market reels from the news that the SEC has sued Binance and its founder Changpeng Zhao with 13 violations.

Binance's recent regulatory hurdles have opened up the path for a potential successor to Changpeng "CZ" Zhao, co-founder and current CEO of the platform.

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Cryptocurrencies slumped across the board after the US Securities and Exchange Commission accused Binance Holdings Ltd. of mishandling funds and lying to regulators. In the lawsuit, the SEC also alleged that certain tokens — including Solana, Cardano, Polygon, Filecoin, Cosmos, Sandbox, Decentraland, Algorand, Axie Infinity, and COTI — that traded on Binance.com and Binance. US were offered and sold as securities, a move that could have wide implications for other exchanges that offer these tokens. Solana fell as much as 13%, while Cardano dropped 8%, Polygon slipped 6% and Filecoin slumped 10%.Bitcoin fell as much as 6.5% to $25,491, the least since April, as of 12:50 p.m. in New York. Binance Coin, the native token of the ecosystem of the world’s biggest digital asset exchange, slumped as much as 13%.

Among other things, the SEC alleges that, while Zhao and Binance publicly claimed that US customers were restricted from transacting on the firm's international exchange, in reality they "subverted their own controls" to skirt this rule.Further, the SEC alleges that, while Zhao and Binance publicly claimed that the company's US exchange was created as a separate, independent trading platform for US investors, they secretly controlled Binance.US operations behind the scenes.According to the SEC, Zhao and Binance have been able to commingle customer assets or divert customer assets as they please, including to an entity Zhao owned and controlled called Sigma Chain. SEC chair Gary Gensler says: "Through thirteen charges, we allege that Zhao and Binance entities engaged in an extensive web of deception, conflicts of interest, lack of disclosure, and calculated evasion of the law."As alleged, Zhao and Binance misled investors about their risk controls and corrupted trading volumes while actively concealing who was operating the platform, the manipulative trading of its affiliated market maker, and even where and with whom investor funds and crypto assets were custodied.

Binance, dealing a severe blow to the industry. Bitcoin, the world's largest cryptocurrency, was last at $25,797, up 0.2% in Asian trade on Tuesday, pinned near a more than two-month low. It had slumped more than 5% in the previous session, the largest daily decline since April 19. The U.S. Securities and Exchange Commission on Monday sued Binance, the world's largest cryptocurrency exchange, and its CEO Changpeng Zhao for secretly controlling Binance.US as part of a «web of deception» to evade U.S. laws, among other charges. «It's another blow to the crypto industry and the crypto exchanges of the world,» said Tony Sycamore, market analyst at IG Markets.

A complaint by the US Securities and Exchange Commission filed against Binance and its CEO Changpeng Zhao unveiled a mix of stark revelations about the world’s largest crypto exchange from evading US laws to internal conversations about Binance.US. 

Binance said the US Securities and Exchange Commission’s 13 charges against it and its CEO Changpeng Zhao are “just another example of the Commission’s misguided and conscious refusal to provide much-needed clarity and guidance,” to the crypto industry.