SEC Discontinues Legal Action Against Binance

The U.S. Securities and Exchange Commission plans to discontinue its longstanding lawsuit against the cryptocurrency exchange Binance, marking a significant shift in the regulator’s approach to overseeing the crypto sector.

On May 29, a joint request was submitted to a federal court in Washington, D.C., by the SEC, Binance, and its co-founder Changpeng Zhao, seeking to have the complaint filed by the regulator in June 2023 dismissed.

The request indicated that the SEC’s Crypto Task Force “could influence and aid in the potential resolution of this litigation” and that the regulator deemed it appropriate to drop the case “in exercising its discretion and as a matter of policy.”