SEC Sues Binance and CEO Changpeng Zhao for Flouting Federal Laws ⚖️

SEC Accuses Binance , and CEO Changpeng Zhao , of "Blatant Disregard" For Federal Law.
NBC reports that the Securities and Exchange
Commission (SEC) has filed 13 charges against
the world's largest crypto exchange, Binance.
The charges also reportedly name the company's co-founder
Changpeng Zhao and alleges that billions of dollars in user
funds were sent to other companies controlled by Zhao.
The charges also reportedly name the company's co-founder
Changpeng Zhao and alleges that billions of dollars in user
funds were sent to other companies controlled by Zhao.
The SEC alleges that Zhao and Binance
worked to allow high-net-worth U.S. customers
to trade on an unregulated international exchange.
NBC reports the the SEC filing alleges that Binance.US
served as a shield for Zhao to "reveal, retard and resolve"
law enforcement targets and protect Binance.
NBC reports the the SEC filing alleges that Binance.US
served as a shield for Zhao to "reveal, retard and resolve"
law enforcement targets and protect Binance.
Between June 2018 and July 2021,
Binance earned $11.6 billion in revenue. .
The SEC accuses Zhao of taking numerous steps to obscure
the identity of high-net-worth customers in the U.S.,
where federal law bars the unregistered sale of securities.
NBC reports that Binance and Zhao
have been accused of violating "critical"
provisions of federal security laws.
Those violations reportedly include self-dealing and
manipulating markets through two other Zhao-controlled
companies, Merit Peak Limited and Sigma Chain.
Through thirteen charges, we allege
that Zhao and Binance entities engaged
in an extensive web of deception,
conflicts of interest, lack of disclosure,
and calculated evasion of the law, Gary Gensler, SEC Chair, via NBC.
Through thirteen charges, we allege
that Zhao and Binance entities engaged
in an extensive web of deception,
conflicts of interest, lack of disclosure,
and calculated evasion of the law, Gary Gensler, SEC Chair, via NBC.
In response to news of the SEC's filing, Zhao tweeted, , “We will issue a response once we see the complaint.”.
Media gets the info before we do, Changpeng Zhao, Binance co-founder, via NBC