- Organization has filed a petition to repeal the regulator’s demand
- The Commission insists on freezing the platform’s assets
- It would effectively make it impossible for the company to continue operating
- It would also affect Binance.US’ customers
Binance.US has filed a petition to repeal the Securities and Exchange Commission (SEC) demand to freeze the unit’s assets. The company said the seizure of funds would effectively shut down operations and cause irreparable damage to both the platform and its customers.
Request for regulatory
We wrote earlier that the SEC is seeking a TRO (temporary restraining order) on the assets of Binance.US. The Commission explained their request by the desire to protect the interests of investors, as the unit was found to be misusing funds.
An exchange response
Binance.US called the claim unfounded, assuring users that their assets SAFU.. However, at the same time, the exchange was forced to suspend the acceptance of deposits in fiat due to problems with the financial services provider.. The SEC request is described here as “draconian and overly burdensome.”</nbsp;
It would also take the parent company behind the unit, BAM Trading Services, out of the lawsuit. The firm would lose its ability to represent itself, not to mention hundreds of clients would lose their money.
“This is a far cry from the status quo the court should adhere to,” the motion says.