Suche
Mein Konto
Binance.US resorts to job cuts as it prepares for a long and costly legal battle with the SEC: report
In a letter to employees, Binance said it expects a lengthy and expensive legal battle with the U.S. Securities and Exchange Commission (SEC) and called on Binance.US management to reduce the workforce across the department. Around 50 employees are likely to be affected by the decision to cut jobs. Binance.US Job Cuts A Bloomberg report noted that a number of employees at Binance's US subsidiary have been laid off. While a company spokesperson confirmed the layoffs, the exact number of employees affected by the decision was not disclosed. However, a Reuters report stated that around 50 employees were affected. …
Binance.US resorts to job cuts as it prepares for a long and costly legal battle with the SEC: report
In a letter to employees, Binance said it expects a lengthy and expensive legal battle with the U.S. Securities and Exchange Commission (SEC) and called on Binance.US management to reduce the workforce across the department.
Around 50 employees are likely to be affected by the decision to cut jobs.
Job cuts at Binance.US
A Bloomberg report noted that a number of employees at Binance's US subsidiary have been laid off. While a company spokesperson confirmed the layoffs, the exact number of employees affected by the decision was not disclosed.
However, a Reuters report stated that around 50 employees were affected.
Earlier this month, Binance.US announced that it would be cut off from banking and payment partners. As of June 9, the crypto exchange was only serving American customers exposed USD deposits and urged users to immediately withdraw their dollar deposits in light of the SEC's "extremely aggressive and intimidating tactics."
Recently, Binance CEO Changpeng Zhao dismissed the idea that the company had sold BTC and BNB, labeling such rumors on social media as FUD. CZ claimed that the company even has a “pocket full of financial transaction taxes.”
In the SEC's crosshairs
In its June 5 lawsuit, the SEC asked the court to freeze the assets and operations of Binance.US. However, the authorities rejected the SEC's request on June 14 and asked Binance.US and the agency to contact each other and find a solution.
"A complete closure would have significant consequences not only for the company, but for the digital asset markets in general. (Work it out) - The essentials are handled better by you than by me," the court said.
These developments suggest that the sudden tightening of US regulators' stance following FTX's collapse in November 2022 has finally caught up with the industry's top players. The US Securities and Exchange Commission (SEC) filed lawsuits against Binance and Coinbase on June 5 and 6, respectively.
Among the commission's allegations against the duo was that they operated as exchanges, broker-dealers and clearinghouses without proper licenses. Binance was accused of managing two unregistered securities – BNB and BUSD – and commingling customer funds. The SEC argued that Binance and Coinbase allow trading in crypto tokens, which are unregistered securities.
The regulator wants exchanges and tokens to comply with the guidelines applicable to securities. It means playing by the rules and making sufficient disclosures that help investors mitigate risks and make informed decisions.
.