Binance FTX Simulation From SEC Chairman Has Arrived! CZ and Crypto Community React!

of the SEC Binance’after Coinbase’and after filing a lawsuit President Gary Gensler made important statements.

One after another CNBC And to Bloomberg Speaking first, Gensler spoke to CNBC.

Stating that the US does not need more digital currency, Gensler is the biggest cryptocurrency arguing that the thousands of cryptocurrencies that can be traded on the exchanges Binance and Coinbase are more like investment contracts that must be registered with the SEC, rather than being a means of payment.All we have to show in the lawsuits is that cryptos are securities and must be properly registered.” said.

Moreover Binance And CZwith the lawsuit against FTX founder SBF’Claiming that there are parallels between the criminal case against Gensler, he used harsher expressions in an interview with Bloomberg.

“There are parallels in the Binance and CZ lawsuit against FTX founder Sam Bankman-Fried with the US alleged and seen FTX fraud manipulation and private arrangements with FTX.

There is also a business model that combines functions that we have not seen in finance and would not allow elsewhere.

If the cryptocurrency industry is to achieve any future success, it needs to improve its compliance and transparency.

Without them, the entire crypto industry is likely to collapse like a house of cards.”

Gensler’s FTX-CZ analogy sparked backlash on Twitter.

While many users ask why the SEC didn’t sue FTX, one of Gemini’s co-founders Cameron Winklevoss “Being sued by the SEC previously meant you probably did something wrong. But now it probably means you did something right.” said.

CZ, who shared this by quoting this, said: But the SEC didn’t sue FTX.” said.

They didn’t sue FTX. https://t.co/FVgi5l6VcI

— CZ 🔶 Binance (@cz_binance) June 6, 2023

Although the SEC filed a lawsuit, the Binance CEO does not claim that CZ was fraudulent, but alleges that funds from Binance and Binance.US were transferred to an account controlled by Merit Peak Limited associated with CZ.

Again, the SEC argues that Binance.US is trading washes through Sigma Chain, an undisclosed market maker trading company that owns CZ.