In the ongoing legal tussle between the U.S. Securities and Exchange Commission (SEC) and Binance, Binance US, and their CEO Changpeng Zhao (CZ), the SEC is planning to submit an omnibus brief. The securities regulator’s aim is to challenge the complaint lodged by Binance US and a motion by Binance Holdings and CZ, both of which seek to have the lawsuit dismissed.
The SEC’s omnibus brief is expected to present a comprehensive argument detailing the reasons why the complaint and motion should be dismissed. This move underscores the SEC’s determination to address all the legal challenges presented by Binance US, Binance Holdings, and CZ in a single consolidated document.
Furthermore, Magistrate Judge Faruqui has granted an order to seal specific documents related to the parties’ Joint Status Report. This order suggests that sensitive information or trade secrets may be involved in the case, warranting protection from public disclosure.
The U.S. SEC has submitted a motion requesting an 80-page omnibus brief in response to the recent requests by Binance, CEO CZ, and Binance US to have the complaint dismissed. The SEC argues that the legal defenses presented by the defendants in their motions overlap, and, as such, it’s more efficient for the SEC to respond to both motions in a single omnibus brief.
Binance US, which encompasses BAM Trading Services and BAM Management US Holdings, has requested the sealing of certain documents related to the October 10 Joint Status Report. Magistrate Judge Zia M. Faruqui has granted this request, emphasizing that it’s necessary to prevent unauthorized access to private and confidential information.
Notably, the case between Binance and the U.S. SEC is now facing opposition from the Chamber of Digital Commerce and various entities involved in the digital asset space, including law firms and legislators. This collective effort is founded on the belief that the case’s outcome holds significant implications for the future of digital asset regulation and could potentially set a precedent for the industry. The move to dismiss the case is intended to encourage a more collaborative approach between regulators and industry stakeholders in shaping the regulatory landscape for digital assets.
