Binance bracing for SEC lawsuit: Hires a former DOJ prosecutor (report)

The world’s largest cryptocurrency exchange – Binance – has reportedly recruited former US Justice Department prosecutor M. Kendall Day. His main duty will be to represent the firm in legal battles against the United States Securities and Exchange Commission (SEC).

The agency waged war on Binance earlier this month, accusing it of violating multiple regulations. According to one of the allegations, the exchange provided services with unregistered securities, such as the native token of the platform BNB and the stablecoin BSD.

prepare for battle

As informed of Recently reported by Bloomberg, Day will appear as counsel for Binance in the SEC case. His vast experience includes 15 years in the Department of Justice, where he served as a white-collar prosecutor and later rose to Acting Deputy Assistant Attorney General (DAAG).

Dey was in charge of the Money Laundering and Asset Recovery section and had responsibility for around 200 prosecutors and other experts. He has also supervised high-profile cases and investigations related to allegations of corporate and financial misconduct.

Interestingly, now he has to stand on the opposite corner. seconds filed A lawsuit earlier this month accused Binance, CEO Changpeng Zhao (CZ) and Binance US of violating several regulations.

For one, it said the company and its US subsidiary operate “unregistered national securities exchanges, broker-dealers and clearing agencies.”

Binance has also provided access to tokens deemed by the Commission to be unregistered securities, including BNB and BUSD.

“Through thirteen counts, we allege that Zhao and the Binance entities engaged in a widespread web of fraud, conflict of interest, lack of disclosure and willful evasion of law,” said SEC Chairman Gary Gensler.

For his part, Zhao remained undeterred by the threat, Entry His signature number on Twitter is “4”. The latter has become a byword for followers to ignore “fake news” and negative information that is spread only to harm the company.

Coinbase is another target

In addition to Binance, the SEC also has filed Lawsuit against US-based crypto exchange Coinbase. Similar to the case above, the watchdog accused the Brian Armstrong-led platform of providing trading services for unlicensed securities such as well-known digital assets SOL, MATIC, ADA, FIL, SAND, AXS, and more.

ceo armstrong Said Coinbase would be “proud” to represent the field in the SEC legal battle, saying it could “finally get some clarity around crypto regulations.”

“We will get the job done. In the meantime, let us all keep moving forward and keep building as an industry. America will get this right in the end,” he concluded.