Binance vs SEC : SEC Declares SOL, ADA, and MATIC Are Not Securities!

The U.S. Securities and Exchange Commission (SEC) has amended its complaint in the lawsuit against Binance, Binance.US, and co-founder Changpeng Zhao. The SEC now says a court ruling is not needed to classify certain cryptocurrencies, like Solana (SOL), as securities.

Details of the Amendment

On July 30, the SEC filed a joint status response in the U.S. District Court for the District of Columbia. This response revealed the SEC’s intent to revise its complaint concerning third-party crypto assets. This change follows a recent court ruling that Binance Coin (BNB) is not a security and that BUSD secondary sales are not securities.

Impact on Affected Cryptocurrencies

This decision provides some relief for cryptocurrencies such as Solana (SOL), Cardano (ADA), and Polygon (MATIC), previously mentioned in the SEC’s complaint. The SEC had also alleged that other tokens, including FIL, ATOM, SAND, MANA, ALGO, AXS, and COTI, are securities.

Next Steps in the Legal Battle

The involved parties have agreed on a schedule for briefing on the motion to amend and related pleadings, with deadlines set within 30 days. However, there is disagreement over the specifics of this schedule.

Discovery Disputes

Binance has expressed concerns about the SEC’s proposed amendments. The updated proposal was disclosed to the defendants late on July 29. Binance argues that the SEC’s new language inaccurately represents their agreement on starting discovery.

New Legal Representation

Additionally, Jeremy M. Christiansen has been appointed as counsel for Binance Holdings in this critical lawsuit.

As the case progresses, the legal landscape for cryptocurrencies and their classification as securities continues to evolve, potentially impacting various crypto assets and market dynamics.