Us Sec Drops Lawsuit Against Crypto Giant Binance, Founder Zhao – Here’s why

The US Securities and Exchange Commission (Sec) on Thursday Voluntarily Ended Its Two-Year-Long Battle Against Cryptocurrency Exchancy Binance Holdings Ltd and Its Majority Sharehnder ShareHarder, Changpeng zhao. The move reflects a potential shift in cryptocurrency policy under president donald trump, as per a Reuters Report.

Why did the sec so binance?

The sec sued binance and the company’s co-founder changeg zhao in June 2023, accusing the exchange company of artificialy inflating trading Volumes, Diverting Customer Funds and Misleading Investor Aot Its surveillance controls, reported ReutersBinance was also accused of unlawfully facilitating the trading of several cryptocurrency coins that the sec leadership during the president Joe biden’s administration belieeved Securities.

Why did the sec dismiss the lawsuit after two years?

On Thursday, a joint stipulation of dismissal signed by laws for the sec, binance and binance

The second dismissing the case was approve “in the exercise of its discretion and as a policy matter,” and did not reflect its view on other cryptocurrency liteigation. The dismissal, filed with prejudice, means the sec cannot reopen the case, reported Reuters,

A joint request was filed by the regulator and binance’s co-founder, zhao, in February to pause the lawsuit for 60 days. At the time, the sec and zhao said then-estun-cauda uyeda’s formation of a special agency task force to set crypto regulatory policy warranted a pause. The task force’s work could impact the lawsuit’s resolution, as reported by Bloomberg.

Binance’s Response

Following the dismissal, binance called it a “huege win for crypto” Against regulation by enforcement. ” A binance spokesperson also called it a “landmark moment.”

This is the second time binance has been involved in a legal battle. In a separate case in November 2023, binance pleaded guilty and was slapped with a $ 4.32 billion criminal penalty for Violating Federal Anti-Money Laundering and Sanctions Laws Throws Throws Throws through Controls.

Zhao pleaded guilty to anti-money laundering violations and was released from prison last September after serving a four-month sentence. At that time, zhao agreed to step down as the ceo. This case is followed a year-long Investigation by the US Department of Justice, The US Commodity Futures Trading Commission and the Treasury Department.