SEC Demands Freeze of Binance US Assets

The U.S. Securities and Exchange Commission (SEC) has thrown a curveball at Binance US. They’ve filed a motion to freeze the cryptocurrency exchange’s U.S. assets. This action takes place in the U.S. District Court for the District of Columbia.

Interestingly, this motion comes on the heels of a lawsuit the SEC filed against Binance and its CEO, Changpeng Zhao. Accusing them of running a “web of deception”, the SEC isn’t pulling any punches. The main targets of the asset freeze are BAM Management US Holdings and BAM Trading Services. These two firms hold and operate Binance.US.

This move by the SEC could put Binance in a tight spot. If the court approves the order, Binance  must ensure only Binance.US can access customer funds within five days. Moreover, within 30 days, it must transfer all customer assets to new wallets, accessible only by Binance.US.

The SEC believes this order is imperative to maintain the status quo. Furthermore, they aim to ensure the safety and availability of assets held. They also want to prevent any loss or transfer of assets from the court’s jurisdiction. Clearly, the SEC is doing all it can to keep Binance US on a short leash.

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