SEC Accuses Binance US of Not Cooperating in Investigation
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SEC Accuses Binance US of Not Cooperating in Investigation


By Miles

15 Sep 2023

2 min read


SEC questions Binance US's cooperation in the investigation; key staff departs from the company.

The U.S. Securities and Exchange Commission (SEC) claims that Binance US hasn't fully cooperated in an ongoing investigation. According to a recent court document, Binance US's parent company, BAM, provided very few documents. Many were hard to understand, like unclear screenshots or papers without dates or signatures.

BAM didn't give all needed witnesses for questioning. Instead, they chose only four people. The SEC said BAM often didn't give important information, and sometimes claimed they didn't have the information. However, SEC get these from other places later.

There's confusion over Binance US's software for storing customer money, called Ceffu. First, BAM said Ceffu was the main software. Later, they said another company, Binance, provided it. The SEC is worried because using Ceffu might break an old agreement about not moving money abroad.

On June 5, SEC took legal action against Binance. They claimed Binance broke rules related to their services and products. The SEC believes Binance and its branches should have gotten special permissions, which they didn't.

Recently, Binance US is facing troubles from within. Their top boss, Brian Shorder, and some other leaders left the company. Binance US hasn't said anything about this yet.

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