On Monday, Binance was hit with a lawsuit from the SEC, that included 13 charges against the exchange and CEO Zhao. The lawsuit alleges that Zhao and Binance committed violations of U.S. securities law and accused the company of operating an illegal exchange. Charges also include operating unregistered exchanges, broker-dealers, and clearing agencies; misrepresenting trading controls and oversight on the Binance US platform; and the unregistered offer and sale of securities.
Binance’s SEC woes appear to be the last few gasps of breath as a once booming industry continues to wither away. In related crypto news, Twitter CEO and proclaimed “Dogefather” has been accused of insider trading in a $258 billion lawsuit. At the same time, the SEC is also investigating Do Kwon, the recently arrested Terra USD Bitcoin founder, after the commission alleges that Kwon and his company transferred 10,000 Bitcoin out of the Terra project before it collapsed last May—that 10,000 Bitcoin was worth hundreds of millions of dollars.