“Asset freeze is unjust.”

It denied that Binance US did not separate customer money and disputed the SEC's attempt to freeze its assets.

Binance first.The US calls the SEC's court order to freeze its operational firms' assets "unnecessary and unreasonable."

Binance CEO Changpong Zhao (CZ) stated that Binance US Operating Company (BAM Trading Services: BAM) cannot transfer assets to affiliates. Binance also told the SEC that BAM will retain sole ownership and control over client assets and documentation.

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Despite unknown "risks" to consumer assets, the SEC rejected the plan. Binance US claims the asset freeze hurts customer assets.

The SEC's proposal would destroy BAM. The SEC wants Binance US's commercial operations frozen.

BAM's customers would suffer, BAM would go out of business, and BAM could not defend itself in this litigation.

The platform would fail if the running company's finances were frozen. He also noted that partner banks will likely refuse to transfer payments or redeem customer assets.

Binance US' bank partners have alerted the business to halt US currency remittance channels due to the SEC case.

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connection: Binance US Suspends US Dollar Deposits and Withdrawals, Focusing on Stablecoin-Denominated Trading Services

What's SEC?

1934 founding. It safeguards investors and prevents insider trading, corporate fraud, and market manipulation. It also classifies virtual currencies as securities. In Japan, the "Securities and Exchanges Surveillance Commission" is like the SEC.

Division of properties
Moreover, Binance US has refuted the SEC's claims that the company failed to segregate customer assets.

A counsel for the proprietor of Binance US, BAM, responded that the company "stores its customers' fiat currency in segregated accounts managed with banking partners, separate from any other company's funds."

Binance US affirmed that Mr. CZ is the proprietor of BAM's bank account, but asserted that Mr. CZ lacks signing authority.

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As background, the SEC asserts that Mr. CZ is one of the individuals who control BAM's bank accounts. This, he argued, demonstrated that there was no asset segregation between Binance and Binance US.

The SEC hearing regarding Binance's request to sequester US assets is scheduled for the 13th.

US SEC demands for the freezing of Binance US assets