SEC’s Absence at Binance Settlement Announcement Raises Questions

Binance SEC
Ad Disclosure
Ad Disclosure

We believe in full transparency with our readers. Some of our content includes affiliate links, and we may earn a commission through these partnerships. However, this potential compensation never influences our analysis, opinions, or reviews. Our editorial content is created independently of our marketing partnerships, and our ratings are based solely on our established evaluation criteria. Read More
Last updated:
Ad Disclosure
Ad Disclosure

We believe in full transparency with our readers. Some of our content includes affiliate links, and we may earn a commission through these partnerships. However, this potential compensation never influences our analysis, opinions, or reviews. Our editorial content is created independently of our marketing partnerships, and our ratings are based solely on our established evaluation criteria. Read More
Author
Fredrik Vold
Author Categories
About Author

Last updated:
Why Trust Cryptonews
Cryptonews has covered the cryptocurrency industry topics since 2017, aiming to provide informative insights to our readers. Our journalists and analysts have extensive experience in market analysis and blockchain technologies. We strive to maintain high editorial standards, focusing on factual accuracy and balanced reporting across all areas - from cryptocurrencies and blockchain projects to industry events, products, and technological developments. Our ongoing presence in the industry reflects our commitment to delivering relevant information in the evolving world of digital assets. Read more about Cryptonews
Ad DisclosureWe believe in full transparency with our readers. Some of our content includes affiliate links, and we may earn a commission through these partnerships. Read more
SEC building
SEC building. Source: Adobe / qingwa

The recent $4.3 billion settlement between Binance and various US government agencies, announced by top Biden administration officials, has stirred controversy due to the absence of Securities and Exchange Commission (SEC) Chair Gary Gensler at the announcement.

While Attorney General Merrick Garland and Treasury Secretary Janet Yellen were present, Gensler’s absence raised eyebrows, especially considering the SEC’s ongoing legal dispute with Binance, the influential business news outlet Wall Street Journal reported on Monday.

Citing insiders “familiar with the matter,” the report revealed that the SEC was not part of the extensive settlement talks that led to Binance and its founder, Changpeng Zhao (CZ), pleading guilty and resolving civil charges with the US Treasury Department.

The absence of the SEC indicates the challenges and high stakes involved in settling with a regulatory body that, although lacking the authority to imprison individuals, holds significant power to disrupt and potentially shut down US companies that operates in the crypto space.

Futile attempts at reaching settlement with SEC

Before the SEC filed its lawsuit against Binance in June, attempts to reach a settlement were reportedly futile, as the parties couldn’t agree on terms.

According to the Wall Street Journal’s sources, a settlement on the SEC’s terms could have compelled Binance to shutter much of its US crypto trading operations and accept claims that its “affiliates engaged in manipulative trading.”

The report also said that various government agencies before filing the lawsuit against Binance tried to get the company to accept an injunction, a deal that would reportedly prevent Binance’s US arm from offering trading in many of the tokens it had listed at the time.

“That would sort of be the end of Binance.US,” Lee Reiners, an economics lecturer at Duke University, told the Wall Street Journal.

Now, however, Binance appears to remain steadfast in defending its case against the SEC, saying in a comment “We remain confident in our case against the SEC and will continue to defend our platform vigorously.”

More Articles

Altcoin News
Kanye West Says He Rejected $2 Million Offer to Promote Alleged Crypto Scam
Ruholamin Haqshanas
Ruholamin Haqshanas
2025-02-08 09:46:28
Bitcoin News
Florida Senator Proposes State Investment in Bitcoin to Hedge Against Inflation
Ruholamin Haqshanas
Ruholamin Haqshanas
2025-02-08 09:43:01
Crypto News in numbers
editors
Authors List + 66 More
2M+
Active Monthly Users Around the World
250+
Guides and Reviews Articles
8
Years on the Market
70
International Team Authors