US Court Blocks SEC Request to Look into Binance US
US Judge stops SEC from checking Binance US's records.Binance says SEC is asking for too much, while concerns grow about money handling.
US Judge denies SEC’s wish to look at Binance US's papers. Binance US called the SEC’s ask “too much”.
The SEC wanted to see Binance US’s Communications with its Custody Service Providers, who are in charge of holding Binance Users Funds. This comes after the SEC started legal trouble against Binance US, causing the company to lose some big leaders and business Partners.
Why does the SEC care about Binance US? They believed Binance US used a company, Ceffu, to move US money out wrongly and may also be connected to the firm somehow. Adam Cochran, a Crypto expert on twitter stated that the SEC thought Binance US was not clear about where they keep their digital money and their ties with Ceffu.
Binance US made it clear that the SEC was asking for too much. In the end, Judge Zia Faruqui said no to the SECs request but told Binance US to provide more documents. The court is not sure if Binance US can manage the crypto in their custody well.
