The SEC is seeking court order to freeze Binance US’s assets

The SEC is seeking court order to freeze Binance US’s assets

By Charles Thuo - min read
  • The SEC has reportedly asked a US federal court to freeze the entire assets of Binance US.
  • This comes two days after The SEC sued Binance for breaching federal securities laws.
  • The move is aimed at preventing the dissipation of Binance US’s available assets for any judgment.

Events surrounding US Securities and Exchanges Commission’s (SEC) legal battle with the world’s largest crypto exchange Binance could take a drastic after reports emerged that the SEC is seeking to freeze Binance US assets.

The SEC has reportedly sought an express court order from a US federal court to freeze all the assets of Binance US.

Why is the SEC so adamant about Binance?

According to sources familiar with new development, the SEC is moving to prevent a possible “dissipation of available assets for any judgment, given the defendants’ years of violate conduct, disregard of the laws of the United States.”

The sources say the freezing order only applies to Binance’s two US holding companies that allegedly have accounts at various financial institutions, including Axos Bank, Prime Trust, and the now-defunct Silvergate Bank.

If the court order is granted, Binance US will be forced to send back customers’ fiat and cryptocurrencies. The move signals SEC’s commitment to taking more drastic actions against Binance and its founder, Changpeng Zhao (CZ).