Bitcoin is in the red today after the Securities and Exchange Commission (SEC) announced legal action against Binance and its founder.
Binance is the biggest crypto exchange in the world, and it operates internationally as Binance.com and in the U.S. as Binance.US. Users based in the U.S. are barred from using Binance.com, and the SEC alleges that Binance and Zhao violated securities laws by allowing U.S. customers to trade on Binance.com despite the ban.
The SEC also alleges that the companies comingled billions of dollars worth of user funds—similar to activities that helped bring down FTX—and sent them to a European company controlled by Zhao.
In one instance, Binance’s chief compliance officer messaged a colleague that, “[w]e are operating as a (vulgarity) unlicensed securities exchange in the USA bro.”
BTC is down nearly 5% as of midday, while Ethereum (ETH) is down 4%.⏰ Bitcoin today closing
🔱 BTC - $ 25.728.20 ⭕ - minis
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