The Chamber of Digital Commerce joins other digital asset companies, associations, law firms, and legislators in dismissing Binance v. U.S. SEC case.
The foremost blockchain trade association in the world seeks to end the SEC’s attempt to regulate the cryptocurrency industry without authority from the U.S. Congress, thereby halting the SEC’s enforcement-based approach to regulation.
Late on October 19, the Chamber of Digital Commerce filed an amicus brief supporting defendants Binance, Binance.US, and CEO Changpeng “C.Z.” Zhao to discharge the SEC lawsuit.
Cody Carbone, the Chamber of Digital Commerce’s vice president of policy, stated:
“The SEC continues to try to regulate the entire digital asset ecosystem through enforcement actions, instead of issuing guidance or going through the proper notice and comment rulemaking channels. The enforcement actions are paralyzing the market and sending digital asset innovation overseas.”
The Chamber of Digital Commerce asserts that the SEC employs a regulation-by-enforcement strategy to classify digital assets as securities and punish crypto businesses. The SEC’s approach stifles innovation and forces crypto companies to relocate abroad.
In addition, Congress still needs to grant the SEC the authority to regulate all digital assets as securities. While legislative bodies strive to establish a regulatory framework, the SEC’s actions endanger the industry and its stakeholders.
The Chamber of Digital Commerce requests that the court dismiss the lawsuit because the SEC acted outside of its jurisdiction, assets are not investment contracts, and token transactions are not subject to the Exchange Act Registration requirements.
Binance.US – SEC Case
Binance.US, Binance Holdings, and CEO CZ filed a motion to dismiss the litigation because the SEC exceeded its authority. Recently, Binance.US stated that the SEC’s most recent requests for document discovery and depositions are “unreasonable.”
BAM Management U.S. Holdings and BAM Trading Services (Binance.US) have filed a motion for permission to submit sealed documents. While the specifics remain confidential, Binance.US provides the SEC with the remaining documents.
