The cryptocurrency exchange Binance and its CEO, Champeng Zhao, asked the court to drop the lawsuit filed against them by the US CFTC (Commodity Futures Trading Commission).
According to their statement, the CFTC is trying to control foreign corporations and individuals transacting their businesses outside the U.S.
As a result, the CFTC is operating beyond its statutory jurisdiction.
READ ALSO:United States Commodity Futures Trading Commission Sues Couple for $6 Million Scam
The CFTC has previously accused Binance and its CEO CZ of illegally promoting commodity derivatives businesses for United States citizens since July 2019.
In Brief
- According to a court filing yesterday, July 27, Binance and C.Z.’s lawyers accused the Commodity Futures Trading Commission of going beyond its regulatory authority and participating in regulatory overreach.
- The court motion also stated that the CFTC is trying to regulate foreign organizations and individuals working outside of the U.S. Besides, such action is beyond its limits of statutory jurisdiction. It, therefore, interferes with the well-laid standards of comity with foreign authorities.
- The exchange and its lawyers further stated that the foundation principle of the legal order generally states that “the United States law can only rule locally but cannot govern the whole world,” citing a lawsuit between AT&T and Microsoft, which has stayed for 15 years.
- According to the court filing details, apart from overreaching its territorial jurisdiction, the crypto exchange also alleged that the CFTC has continuously relied on a conflicting mixture of legal theories.
- The crypto exchange insists that these theories are founded on opposing registration categories. Also, they accused CFTC of presenting an illogical claim under formerly unused rules and basing its case on accusations dismissed by the commission’s guidelines.
- In addition, the CFTC alleged that Binance and its top officials, including Samuel Lin, its Chief Compliance Officer, intentionally dodged regulations to hide their operations.
What’s Happening In Crypto Today?
Right now, Bitcoin is trading at $29,212.74 with s decrease in market cap by 0.94% and a decrease in trading volume by 16.67%.
Meanwhile, Ethereum is presently trading at $1,866.19, with a decrease in market cap by 1.08% and a decrease in trading volume by 31.84%.
- On the side of BNB, its current price is at $241.69, with an increase in market cap by 0.07% and a decline in trading volume by 16.65%.
- As for USD Coin, it is currently trading at $1.00 with an increase in market cap by 0.00% and a decrease in trading volume by 6.81%.