Crypto Exchange Binance Files Petition to Dismiss CFTC’s Claim

The Commodity Futures Trading Commission (CFTC) accused crypto exchange Binance and its CEO, Changpeng Zhao, in March of violating derivatives trading rules and operating without a license, in addition to being aware that its customers are sanctioned persons.

To dispute these claims, Binance and Zhao have filed a motion for dismissal in federal court in Chicago, with Samuel Lim (the former Chief Compliance Officer of Binance) intending to do the same.

They have been granted until July 27 to submit their responses to the CFTC complaint, noting the complexity of the claim and requesting an increased number of pages for their memos.

In response, Zhao alleges that the CFTC’s claims are based on an “incomplete statement of facts,” denouncing “enforced crypto regulation” by the regulator.

Consequently, the US Securities and Exchange Commission (SEC) filed 13 charges against Binance and Zhao on June 5, including the sale of unregistered securities, filing a request on the same date to freeze the digital assets of the American branch of the exchange.