The US Securities and Exchange Commission’s (SEC) lawsuit against Binance would be a huge miscalculation if other countries allowed the development of the cryptocurrency industry, which would eventually replace the traditional banking sector. obtain. said Jim Bianco, founder and president of Bianco Research.
steal jobs and innovation
“If crypto is the blueprint for the next financial system, this lawsuit is a big mistake,” Bianco told CoinDesk, noting that the action against Binance is another way for U.S. lawmakers to “kick crypto[out of America].” He continued that it was one attempt.
On June 5, the SEC allegedly violated U.S. securities laws by offering unregistered securities and staking services.Binancesued.
In March, it also sued Justin Sun, the Tron Foundation, the BitTorrent Foundation, and Rainberry (formerly BitTorrent).
Related article: SEC sues Tron founder Sun for allegedly selling unregistered securities and manipulating the market
In a statement to CoinDesk, a Binance spokesperson confirmed that it received a warning “Wells Notice” from the SEC earlier this year that eventually led to a lawsuit. US cryptocurrency exchange Coinbase was also warned in March that it could be cracked for allegedly offering unregistered securities.
While Coinbase remains focused on operating in the United States, this has prompted it to step up its business in other countries, including Canada and the Seychelles. Coinbase shares fell 10% on Friday after news of the Binance lawsuit.
Richard Mico, U.S. CEO and Chief Legal Officer at Banxa, a payments and compliance infrastructure provider, said: “The lack of regulatory clarity continues to push digital asset ventures to more friendly jurisdictions. and leave the United States, creating the risk of depriving America of jobs and innovation.”
Some voices welcome the lawsuit
The SEC’s Binance lawsuit signals more regulation of the industry, but some experts welcome the SEC’s lawsuit.
Aaron Kaplan, co-CEO and co-founder of Prometheum, which owns an SEC-cleared trading platform and custodian, said, “This meaningful action by the SEC will create a regulated market for crypto assets. It signals the beginning of a shift in America towards infrastructure that should ultimately help the industry move forward.”
“The competitive landscape will be very different, but I expect it will bring real benefits to American investors and enable greater innovation,” Kaplan said.
“The SEC’s U.S. lawsuit against Binance seems not only legitimate, but somewhat late,” said Steve Rosenblum, founder of risk management platform Libertify.com. Steve Rosenblum).
“Binance has been criticized for its lack of operational transparency, and the company’s executives appear to be largely inaccessible, further adding to the concerns,” said Rosenblum.
Similarly, Valerii Brizhatiuk, co-founder of identity-based layer-1 blockchain Swissstronik, said, “Players like Binance have a wide range of features, products and investment services. Providing these products and services while supporting them and complying with U.S. regulations can be challenging at times.”
｜Translation: coindesk JAPAN
｜Editing: Takayuki Masuda
｜Original: Binance Lawsuit Could Be ‘Huge Mistake’ or Bring Needed Clarity to US Crypto Industry