The Chamber of Digital Commerce joins other digital assets companies and associations, law firms, and lawmakers to dismiss the Binance vs U.S. SEC lawsuit. The world’s leading blockchain trade association aims to end the SEC’s attempt to regulate the crypto industry without authority from the U.S. Congress, stopping the SEC’s regulation by enforcement approach.
Chamber of Digital Commerce Files Amicus Brief In Binance Vs SEC
The Chamber of Digital Commerce filed an amicus brief in support of defendants Binance, Binance.US, and CEO Changpeng “CZ” Zhao to dismiss the SEC lawsuit, as per a court filing late October 19.
Cody Carbone, VP of policy at the Chamber of Digital Commerce, said:
“The SEC continues to try to regulate the entire digital asset ecosystem through enforcement actions, instead of issuing guidance or going through the proper notice and comment rulemaking channels. The enforcement actions are paralyzing the market and sending digital asset innovation overseas.”
The Chamber of Digital Commerce argues the SEC is using the regulation-by-enforcement approach to categorize digital assets as securities and penalize crypto businesses. The SEC’s approach stifles innovation and forces crypto firms to move overseas.
In addition, the SEC does not have the authority to regulate all digital assets as securities from the U.S. Congress. While the legislative bodies seek to regulatory framework, the SEC’s actions put the industry and its stakeholders at risk.
The Chamber of Digital Commerce urges the court to dismiss the lawsuit on claims including the SEC acting outside jurisdiction, assets are not investment contracts, and tokens transactions do not fall under the Exchange Act Registration requirements.
Binance.US Challenges SEC
Binance.US, with Binance Holdings and CEO CZ, filed a request to dismiss the lawsuit claiming the SEC’s overstepped its jurisdiction. Binance.US recently said the SEC’s latest requests regarding document discovery and depositions are “unreasonable”.
BAM Management US Holdings and BAM Trading Services (Binance.US) filed a motion for leave to submit documents under seal. While the details remain sealed, it seems Binance.US is sharing the remaining documents with the SEC.
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