Court Approves Binance And US SEC Agreement

The US District Court for the District of Columbia Judge Amy Berman Jackson has approved the “Proposed Stipulation and Consent Order” agreed upon by defendants Binance and BAM Trading (Binance.US) and plaintiff US Securities and Exchange Commission (SEC) on June 17.

As CoinGape Media reported, the proposed agreement only allows Binance.US employees to access customer funds on the US-based crypto exchange. Binance Global officials will be restricted from having access to private keys of all wallets including cold and hot wallets, hardware and software, as well as Binance.US’s internal systems and controls within 14 days.

Also Read: XRP Lawyer And Coinbase CLO Grewal Urge Court To Order US SEC Respond To Petition

Federal Judge Signed Binance, Binance.US, and US SEC Proposed Deal

According to the consent order signed by Judge Amy Berman Jackson, Binance must “repatriate” all fiat currency and crypto assets related to Binance.US on or before the date the court issues this order.

“Stipulating Defendants shall repatriate to the United States, transfer to BAM Trading, and confirm that BAM Trading maintains possession, custody and control in the United States of all fiat currency and crypto assets that are deposited, held, traded, or accrued by customers, including affiliated and non-affiliated liquidity providers (hereinafter referred to as “Customers”) on the crypto trading platform Binance.US.”

Binance.US must not provide possession, custody, or control over customer assets to any individual or entity, including Binance and CEO Changpeng “CZ” Zhao. Binance.US is ordered to create new crypto wallets with new private and administrative keys. Binance and Binance.US businesses will have different wallets and management.

In addition, Binance.US may transfer crypto custody of the staking-as-a-service program to custodians BitGO or Aegis under several conditions.

Moreover, Binance.US will share a detailed financial statement including business expenses and estimated costs from December 1, 2022 to the date of the accounting, with the US SEC in the next few weeks.

The federal judge ordered the parties to file a joint status report on June 23 proposing a schedule for further proceedings or setting forth the parties’ individual proposals if they cannot agree on a joint proposal

We want to provide an update on the current battle https://t.co/AZwoBOh0gq finds itself in with the SEC. We are pleased to inform you that the Court did not grant the SEC’s request for a TRO and freeze of assets on our platform which was clearly unjustified by both the facts and…

— Binance.US 🇺🇸 (@BinanceUS) June 17, 2023

Also Read: Terra’s Do Kwon Comments On Fake Docs, South Korea Extradition, Political Ties In Montenegro

AD

Varinder has 10 years of experience in the Fintech sector, with over 5 years dedicated to blockchain, crypto, and Web3 developments. Being a technology enthusiast and analytical thinker, he has shared his knowledge of disruptive technologies in over 5000+ news, articles, and papers. With CoinGape Media, Varinder believes in the huge potential of these innovative future technologies. He is currently covering all the latest updates and developments in the crypto industry.

The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.