A judge has approved Binance.US to invest certain customer assets in U.S. Treasury bills under specific conditions.
The order, signed by Judge Amy Berman Jackson, requires Binance.US to work with third-party investment advisers to manage the assets of BAM Trading Services Inc. and BAM Management US Holdings Inc., both U.S.-based entities.
Additionally, Binance.US must transfer cryptocurrencies to a third-party custodian unaffiliated with the exchange and invest fiat funds in U.S. Treasury bills, ensuring sufficient reserves for customer withdrawals.
This approval is part of ongoing legal proceedings led by Judge Jackson, following a lawsuit by the U.S. Securities and Exchange Commission (SEC) against Binance.
The SEC accused Binance and former CEO Changpeng Zhao of misleading customers, allowing U.S. investor access, misdirecting funds, and operating as an unregistered exchange.
Zhao is currently in prison due to related charges from the Department of Justice. Last month, Judge Jackson mostly denied Binance’s motion to dismiss the SEC case but did dismiss some points, including the claim that secondary sales of BNB were securities.
Image Credit: Pixabay
Keep in mind that we may receive commissions when you click our links and make purchases. However, this does not impact our reviews and comparisons. We try our best to keep things fair and balanced, in order to help you make the best choice for you.
