The Securities and Exchange Commission (SEC) has maintained its stance in a recent filing that <\/span>Binance\u2019s dismissal plea<\/span><\/a> lacks legal substance. The filing on Wednesday was in response to the cryptocurrency exchange\u2019s earlier attempt to discard the SEC lawsuit.<\/span><\/p>\n The SEC is countering <\/span>Binance\u2019s motion to dismiss<\/span><\/a>, asserting that the exchange\u2019s defense is founded on misinterpretations of the law. According to the SEC the exchange\u2019s argument would jeopardize long-established precedents vital to the functioning of the nation\u2019s securities laws. They argue that Binance\u2019s approach proposes a rigid framework alien to the existing legal system.<\/span><\/p>\n <\/p>\n The SEC\u2019s allegations point directly to Binance\u2019s launch of the BNB token and <\/span>Binance USD <\/span><\/a>(BUSD), which the agency deems as infringements of securities law. Additionally, the SEC argues that the company\u2019s staking and earning programs fall under securities violations. <\/span>Moreover, the SEC refutes Binance\u2019s reliance on the \u201cMajor Questions Doctrine,\u201d a principle increasingly invoked by crypto firms in legal defenses.\u00a0<\/span><\/p>\n <\/p>\n Binance and its U.S. arm and founder Changpeng Zhao have argued that the SEC\u2019s suit represents an<\/span> overreach of its regulatory mandate<\/span><\/a>. They hold that the agency must adequately demonstrate how its actions violate securities laws. However, the SEC has firmly rejected this notion, emphasizing their duty to enforce the legal frameworks set by Congress.<\/span><\/p>\n This legal tussle comes on the heels of the SEC\u2019s consistent scrutiny of the cryptocurrency industry. The exchange\u2019s defense challenges the SEC\u2019s interpretation of their activities as violations, while SEC continues to argue for applying traditional securities law in the cryptocurrency sector.<\/span><\/p>\n <\/p>\n Read Also:<\/b> Rare Bitcoin ETF Approval Window Now Open: Bloomberg Analysts<\/span><\/a><\/p>\n \u00a0<\/p>\nSEC Deems Bi<\/strong>nance Token Sale Illegal<\/strong><\/h2>\n
Binance Battles SEC Over Legal Reach<\/strong><\/h2>\n
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