In a rare moment of agreement, Global Crypto Exchange Binance and the US Securities and Exchange Commission (SEC) have jointly submitted a motion to pause their current legal battle for 60 days. The catalyst: both parties anticipate a shift in the dynamics of the regulations with the launch of the new Crypto Task Force of the SEC.
Posted on February 10, the joint motions are looking for a temporary stopping of the controversial court case with serious accusations of securities violations.
The motion quotes that the creation of the new Crypto Task Force under SEC commissioner Hester Peirce “can influence and facilitate the possible solution to this case.”
If the break is approved, there is a chance that other crypto exchanges Ripple and Coinbase can have a similar tactic to take on their own legal challenges against the SEC.
The joint motion is one of the important steps under the leadership of acttering sec chair Uyeda, pointing to a possible shift in the regulatory approach to embrace crypto under the government of President Donald Trump.
If granted, the break would delay important motions, including Binance’s request to reject the changed complaint from the SEC.
“A short stay will promote the efficient use of the resources of the court,” is the joint motion.
After 60 days, both parties are planning to submit a joint status report to determine whether further delays are justified.
In June 2023, the SEC Binance and his co-founder Changpeng Zhao (CZ) sued them and accused them of 13 violations of American securities laws.
The SEC claimed that Binance and Zhao deliberately avoided American securities, enriching themselves while they endanger the funds of investors.
In November 2023, Zhao agreed to resign as CEO and to argue for us Doj, including money laundering, sending money without permit and violations of sanctions.
The stock market also pleaded guilty in the Doj case and agreed to pay more than $ 4 billion in fines. Zhao was sentenced to four months in prison in April 2024 and was released in September 2024.
Binance can be increased, among other things, the legal control of various supervisors. But with the formation of the Crypto Task Force of the SEC, many in the industry are hopeful that favorable changes will arise.
The new Crypto Task Force, launched on 4 February, will be responsible for creating a clearer regulatory framework for digital assets, a space that has received a high investigation by American supervisors under the Biden administration.
But keep in mind that the problems of Binance go beyond the American borders.
Last month the French authorities launched a probe in the exchange of costs, including money laundering, tax fraud and drug trafficking.
The investigation, which started in 2023, was intensified with the national jurisdiction of France for the fight against organized crime (Junalco) that refers the case to the French judiciary for further probe.
Binance has denied the allegations, telling Decrypt They are “several years old” and that the company is dedicated to combat any charges.
Published by Stacy Elliott.
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