Binance.US responded to a Securities and Exchange Commission (SEC) request for deposition, calling it unnecessarily coercive.
Binance Objected to SEC's Deposition Request, Citing Lack of Evidence
The exchange argues that the SEC did not provide any evidence to support allegations that customer funds were unfairly diverted.
“Even after all reviews already conducted by Binance during the expedited review period, the SEC has no evidence to support its unfounded allegations implying that investor assets were somehow diverted,” Binance said in a corrected statement.
He also emphasized that all available evidence, including documents, affidavits, and affidavits, supports his position that Binance retains custody and control of his digital assets.
In the allegations made in June, the SEC accused Binance CEO Changpeng 'CZ' Zhao and Guangying 'Helina' Chen of transferring billions of customer funds through intermediary companies.
Both Binance and CZ have publicly denied the allegations. Binance's filing reiterated CZ's confirmation that the exchange has a lack of oversight or control over customer assets' private keys.
While the SEC initially requested that Binance.US's assets be frozen, a US judge rejected the request and instead ordered the two parties to engage in negotiations regarding continued operations.
As a result, Binance.US continues to defend its position and emphasizes that the SEC must provide substantial evidence to support its allegations of fund diversion.
*This is not investment advice.