The post Lawyer Says ‘Binance Is Guilty as Sin,’ Explains How the SEC’s Crackdown Is a Good Step appeared first on Coinpedia Fintech News

Crypto entities based in the United States are now facing significant regulatory threats that could potentially lead to their downfall. The U.S. Securities and Exchange Commission (SEC) has recently made headlines by initiating legal actions against Binance. This has sparked debates and raised concerns within the crypto community.



Analyst Scott Melker recently discussed the SEC’s actions with David Silver, who is a founding Partner of Silver Miller. 



David said that the SEC’s delayed response and lack of new revelations in the recent suits are not surprising. He also expressed disappointment that it has taken several years for the SEC to take action, despite raising concerns about crypto exchanges as early as 2014 and participating in the Coinbase class action in 2017. 




David said, “When I take a look at these things, what I’m seeing is Binance has all these issues. It’s within the statute of limitations. They are hiring and paying the legal dream team in the United States from the defense lawyer’s perspective because they are guilty as sin. 





He added, “They’re going to um… I got in a lot of trouble yesterday because I said this really reminds me of the Shawshank Redemption quote that Andrew Dufresne had to swim through a pile of….. to come out clean on the other side. This is fantastic for crypto. I mean, this is a fantastic coinbase.”




Earlier this week, the SEC filed a lawsuit against Binance and associated parties. The lawsuit alleges securities violations and sheds light on various crypto tokens that the SEC considers to be securities. Additionally, the lawsuit reveals details about how the Binance team allegedly evaded U.S. securities laws and regulatory oversight.




“As alleged, Zhao and Binance misled investors about their risk controls and corrupted trading volumes while actively concealing who was operating the platform, the manipulative trading of its affiliated market maker, and even where and with whom investor funds and crypto assets were custodied,” SEC chair Gary Gensler said.