The announcement of the United States Securities and Exchange Commission (SEC) suit against Binance, Binance.US and Binance CEO Changpeng Zhao (CZ) may have surprised the crypto community, but the SEC’s focus on the exchange was well known. The suit’s contents were met with a variety of reactions.
CZ claimed in a tweet on the morning of June 5, “Media gets the info before we do,” and the company had not seen the SEC complaint then. Evidence of scrambling behind the scenes may be seen in the two statements Binance issued in response to the suit.
The exchange called the suit “disappointing” in a blog post and emphasized the SEC’s failure to provide clarity and guidance, as well as its impact on financial innovation. A later statement distributed by email addressed legal issues more closely, claiming there was a lack of due process and promising a vigorous defense.
No one who was paying attention should have been taken unawares by the SEC’s complaint, Cory Klippsten, CEO of financial firm Swan Bitcoin, said of the allegations. He claimed in a statement to Cointelegraph:
“These practices of Binance have essentially been open secrets, so no one who operates in the space will be surprised by any of the charges.”
Some of the details will still raise eyebrows. The most quotable passage in the suit undoubtedly came from the unnamed…
