{"id":1944843,"date":"2023-06-05T20:10:01","date_gmt":"2023-06-06T00:10:01","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/crypto-shares-tumble-as-binance-sec-lawsuit-ripples-through-industry\/"},"modified":"2023-06-05T20:11:41","modified_gmt":"2023-06-06T00:11:41","slug":"crypto-shares-tumble-as-binance-sec-lawsuit-ripples-through-industry","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/crypto-shares-tumble-as-binance-sec-lawsuit-ripples-through-industry\/","title":{"rendered":"Binance SEC lawsuit causes crypto shares to drop."},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"&quot;\"><div class=\"counts mashsbcount\">16<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Fcrypto-shares-tumble-as-binance-sec-lawsuit-ripples-through-industry%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1944843&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><h2>Cryptocurrencies and Shares Tumble as SEC Sues Binance<\/h2>\n<p>By Hannah Lang, John McCrank and Sin\u00e9ad Carew<\/p>\n<blockquote>\n<p>The U.S. Securities and Exchange Commission sued Binance and its CEO Changpeng Zhao for secretly controlling Binance.US as part of a \u201cweb of deception\u201d to evade U.S. laws, among other charges.<\/p>\n<\/blockquote>\n<p>This news dealt a heavy blow to the cryptocurrency industry, causing cryptocurrencies and shares in crypto and <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/crypto-stocks-fall-after-binance-halts-bitcoin-withdrawals-for-hours\/\" title=\"Binance's bitcoin withdrawal halt causes crypto stock drop.\">blockchain-related companies<\/a> to tumble on Monday. Bitcoin, the world\u2019s biggest cryptocurrency, fell 5.45% after dropping to its lowest level since mid-March. Binance\u2019s cryptocurrency also fell 9.72%.<\/p>\n<h3>SEC\u2019s Aggressive Approach to Cryptocurrency Industry<\/h3>\n<p>The charges filed in a federal court in Washington, D.C., are the latest in a string of <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/crypto-shares-tumble-as-binance-sec-lawsuit-ripples-through-industry\/\" title=\"Binance SEC lawsuit causes crypto shares to drop.\">enforcement actions brought<\/a> by the agency in a bid to curtail the cryptocurrency industry, which SEC Chair Gary Gensler has described as \u201cthe wild West.\u201d<\/p>\n<p>The SEC crackdown has prompted some crypto companies to increase compliance, spike products, and expand overseas, moves that some marketwatchers said would likely be accelerated by this latest action against the world\u2019s <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/worlds-largest-crypto-exchange-denies-ukraines-request-to-block-russian-accounts\/\" title=\"World\u2019s Largest Crypto Exchange Denies Ukraine\u2019s Request to Block Russian Accounts\">largest crypto exchange<\/a>.<\/p>\n<p>\u201cThis is yet another targeted attack that is devastating in the crypto ecosystem. Pretty soon, the SEC won\u2019t have anyone left to sue,\u201d said John Reed Stark, a former chief of the SEC\u2019s Office of Internet Enforcement.<\/p>\n<p>In statements, Binance said it had been cooperating with the SEC\u2019s probes and had \u201cworked hard to answer their questions and address their concerns\u201d including by trying to reach a negotiated settlement.<\/p>\n<p>\u201cWith its complaint today, the SEC abandoned that process and instead chose to act unilaterally and litigate. We are disheartened by that choice,\u201d the company said.<\/p>\n<p>The SEC\u2019s move to abandon a settlement and move to litigate underscores the aggressiveness with which it has approached the cryptocurrency industry, which the agency says has violated its rules on trading and securities issuance.<\/p>\n<h3>Impact on Crypto Companies<\/h3>\n<p>Shares of Coinbase were down 9.1% on the news of the SEC\u2019s charges against Binance. Crypto miner Riot Platforms Inc was off 8.8% while Marathon Digital was down 8.4%, and Hut 8 Mining was off 4.6%.<\/p>\n<p>Following some of the SEC\u2019s actions against crypto companies this year, several firms have invested in expanding their operations outside of the U.S. Both Coinbase and crypto exchange Gemini launched international exchanges for crypto derivatives in May.<\/p>\n<p>Still, the regulatory actions in the U.S. \u201chighlight the need to establish safeguards in these markets to meet the expectations of investors and customers,\u201d said Rajeev Bamra, <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/senate-confirms-kathleen-hicks-as-deputy-defense-secretary\/\" title=\"Senate Confirms Kathleen Hicks as Deputy Defense Secretary\">senior vice president<\/a> and head of decentralized finance and <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/biden-signs-cryptocurrency-executive-order-looking-to-develop-digital-dollar-and-crack-down-on-national-security-threats\/\" title=\"Biden Signs Cryptocurrency Executive Order, Looking To Develop Digital Dollar And Crack Down On National Security Threats\">digital assets strategy<\/a> at Moody\u2019s Investors Service.<\/p>\n<p>\u201cConsequently, these charges have the potential to reshape the regulatory landscape for digital assets,\u201d he said.<\/p>\n<h3>Conclusion<\/h3>\n<p>The SEC\u2019s latest action against Binance has sent shockwaves through the cryptocurrency industry, causing cryptocurrencies and shares in crypto and blockchain-related companies to tumble. The SEC\u2019s aggressive approach to the industry has prompted some companies to increase compliance and expand overseas, while others have invested in expanding their operations outside of the U.S. The impact of these charges has the potential to reshape the regulatory landscape for digital assets.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Cryptocurrencies and related shares fell after the SEC sued Binance and its CEO for allegedly controlling Binance.US. The move is another setback for the industry.<\/p>\n","protected":false},"author":66,"featured_media":1944844,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","fifu_image_alt":"","footnotes":""},"categories":[542],"tags":[8369,6987,5053,4585,4790],"class_list":["post-1944843","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-oann","tag-binance","tag-crypto","tag-drop","tag-lawsuit","tag-shares"],"fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1944843","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/66"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=1944843"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1944843\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/1944844"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=1944843"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=1944843"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=1944843"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}