Binance and its CEO ask for the dismissal of the CFTC lawsuit

Crypto major Binance has filed a motion to dismiss the lawsuit brought against it by the U.S. Commodity Futures Trading Commission (CFTC).

According to Binance the CFTC is reaching beyond its jurisdiction in suing Binance and its CEO Changpeng Zhao.

The crypto exchange claims that the CFTC is overreaching in suing Binance, which does not operate in the U.S., and its CEO Changpeng “CZ” Zhao, who does not reside in the U.S.

The seventh charge – that Binance is trying to evade the Commodity Exchange Act – should be dismissed because the agency likewise does not meet the requirements it needs, the filing said.

The CFTC sued Binance in March, alleging the company offered unregistered derivatives products in the U.S., including cryptocurrency trading services and futures and options products.

The regulator also alleged that Binance did not properly supervise its business, have a decent know-your-customer or anti-money laundering program and didn’t register as a futures commissions merchant, designated contract market or swap execution facility.


Leave a Reply

Your email address will not be published.