The U.S. Securities and Exchange Commission (SEC) filed motions with two courts on January 3, asking the judge to refer to the previous summary judgment related to Terraform Labs, claiming that both BUSD and UST are securities. And used this to support the case against Coinbase for allegedly selling unregistered securities.
According to documents filed by the SEC yesterday in the New York State District Court, the SEC cited last week’s summary judgment against Terraform Labs by the District Court for the Southern District of New York to support their case. Coinbase lawsuit.
Last Thursday, Judge Jed Rakoff issued a ruling in the Terraform Labs case, charging Terraform Labs and founder Do Kwon with issuing and selling unregistered securities in the form of cryptocurrency. , including UST, LUNA, wLUNA and MIR. The simple verdict was seen as an initial victory for the SEC.
The SEC submitted the ruling in its case with Coinbase, arguing that its contents are relevant for evaluating certain issues in the case. The ruling noted that every crypto-asset issuer has the potential to attract investors, including users of the Coinbase platform, who expect an increase in the value of their investments. This behavior is consistent with the definition of a security.
SEC also gave examples of tokens such as SOL, ADA and MATIC that were mentioned repeatedly before, saying that they are also unregistered securities like UST.
The SEC hopes the ruling will support its assertion that Coinbase engaged in the sale of unregistered securities as a secondary market for cryptocurrency.
In addition, the SEC also submitted the same ruling to the Washington court responsible for hearing its lawsuit against the exchange Binance.
SEC submitted a motion to the local court in the United States
The document states: The previous court’s views on the so-called “stable currency” UST by the defendant Terraform are inconsistent with the current views on The defendant Binance’s “stable currency” BUSD, pledge service, BNB earnings pool (BNB Vault) and currency earning service (Simple Earn) are highly related.
And added, “BUSD should be considered securities like UST.”
In this regard, the SEC advocated that Terraform Labs’ ruling can provide further evidence for the case. Judge Amy Jackson rejected Binance’s previous decision. The basis for the motion.
Previously, Binance and its former CEO CZ submitted a motion to dismiss in September, believing that the SEC had exceeded its regulatory authority and excessively exercised its power. It also retroactively expanded the standards and definitions of securities.
Regarding the SEC’s current enforcement actions against the encryption field, SEC Enforcement Director Gurbir Grewal previously claimed in an interview with the Wall Street Journal : The multiple crackdowns and accompanying penalties over the past two years are to ensure that our penalties have a deterrent effect, and regulatory actions will continue in 2024.
It is understood that Terraform Labs, Binance and Coinbase are among the targets recently sued by the SEC, accusing these platforms of providing unregistered securities. It has also previously taken enforcement actions against crypto companies such as Ripple and Kraken. action.
The above is the detailed content of SEC cites Terraform Labs lawsuit, aims to win in Binance and Coinbase cases. For more information, please follow other related articles on the PHP Chinese website!