According to rumors, Binance.US, Binance, and the SEC have reached an agreement. Under the agreement on Friday, only Binance.US employees will be able to access client funds in the first instance.
Binance and SEC Reach a Deal for US Users
The proposed agreement states that Binance.US will take measures to ensure that no representatives of Binance Holdings have access to the private keys for any of its hardware wallets or tools provided by Amazon Web Services. In addition, the agreement is still awaiting approval from the federal judge overseeing the case. In the upcoming weeks, the U.S.-based cryptocurrency trading platform will also provide specific details on its business expenses, including projected costs.
Binance Appeals TRO
This proposed settlement is in response to the SEC’s plan to seize Binance.US’s assets while investigating the exchange for alleged violations of securities laws. The regulator stated that if a temporary restraining order (TRO) was not imposed, it was worried that money might be transferred abroad or that documents might be destroyed. Binance.US’s legal team objected, claiming that freezing all of their assets would be equivalent to giving them a “death punishment.”
Report on Current Situation Presented
According to a report provided by the two sides on Thursday, the parties put forth a lot of effort to come to a compromise. The parties are still negotiating a proposed settlement to present to the court, but some progress has been made.
Judge Amy Berman Jackson’s Statements
The District Court for the District of Columbia’s Judge Amy Berman Jackson advised the parties that it would be preferable for them to reach an understanding on a suggested stipulation rather than have her draft a temporary restraining order (TRO), adding that a TRO has a two-week time restriction for a more thorough hearing. Given the more than 4,000 pages of documents the parties have already filed, she stated during a hearing earlier this week that two weeks would not be enough time to prepare.
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