The SEC is intensifying its legal battle against Coinbase and Binance.

The SEC recently filed a petition in this case. Coinbase and BinanceWe urge the court to consider the recent ruling regarding Terraform Labs.

Specifically, the agency stated that Binance’s BUSD should be classified as a security, following similar reasoning to what occurred in UST in the case of Terraform Labs. Let’s take a look at all the details below.

The SEC cites Terraform Labs’ key ruling in its lawsuit against Coinbase and Binance.

As expected, the Securities and Exchange Commission (SEC) plans to capitalize on the partial victory it won in court. Terraform LabsIt is used in separate lawsuits against Binance and Coinbase, two major cryptocurrency exchange platforms.

In a document filed Thursday in connection with the case against Coinbase, the agency announced the ruling by the Terraform Labs court in the Southern District of New York.

This sentence granted summary judgment on the claim that the UST, LUNA, wLUNA, and MIR tokens were considered. stock.

The SEC cited this decision as its primary reason for opposing the ruling in Coinbase’s favor. This document was filed with the purpose of further strengthening the SEC’s position on Coinbase’s actions.

In opposition, SEC lawyers argued that cryptocurrency issuers, including Coinbase, implicitly encouraged Investors expect asset values ​​to rise.

This builds on the broadcaster’s wider plans to develop and maintain value through secondary markets for resale.

It is important to note that there are tokens. UST, LUNA, wLUNA, MIRwas not included in the SEC’s complaint against Coinbase, but was mentioned as an example of a security in the context of the Terraform Labs ruling.

Conversely, the SEC’s complaint against Coinbase focuses on a diverse set of tokens, including SOL, ADA, MATIC, FIL, SAND, AXS, CHZ, FLOW, ICP, NEAR, VGX, DASH, and NEXO. It is considered an unregistered security.

New developments in legal proceedings

As already mentioned, in the dispute with Binance, the SEC intends to use Terraform Labs’ ruling as a basis.

In documents filed Wednesday, the agency asked a Washington court to consider the Terraform ruling while evaluating Binance’s application. The case is dismissed.

The document states that the court’s analysis of Terraform’s ‘stablecoin’ UST involves examining defendants’ claims regarding programs such as BUSD, Stalk-as-a-Service, BNB Vault and Binance’s Simple Earn.

The SEC highlights that Terraform Labs previously attempted to separate token sales from token development and promotion using similar arguments to Binance. anchor code.

It is a protocol that allows you to generate profits by staking tokens. The SEC claims that the situation is similar to Binance, which offers BUSD, BNB Vault, and Simple Earn along with staking services.

The agency wrote that this provides additional reason to deny defendant’s motion to dismiss.

In November, Binance and its former CEO Zhao Chanfeng He agreed to a settlement with the Justice Department, pleading guilty to violating the Bank Secrecy Act and other charges.

The SEC’s lawsuit against Binance for operating an unregistered stock exchange is still ongoing.

Specifically, the agency alleged that Binance lied to customers and misdirected funds to investment funds owned by Zhao. Over the past seven months, Binance has repeatedly tried to have the case dismissed.

Justin Sun transferred millions of USDT to Binance.

Founder of Tron (TRX), justin sunis known to have transferred millions of dollars from USDT, a stablecoin linked to the U.S. dollar, to Binance amid a weak cryptocurrency market.

According to on-chain data providers: Look on chainAn address suspected to belong to Justin Sun recently deposited 50 million USDT into Binance.

Last month, a total of 439.5 million USDT was withdrawn from these addresses, of which $371 million was deposited on the Binance cryptocurrency exchange platform.

The reason for this operation is still shrouded in mystery, raising a variety of possibilities. guess.

Some speculate that Sun may have sold his USDT in anticipation of a market downturn, preparing to accumulate other cryptocurrencies at more favorable prices.

The timing of this move coincides with an overall decline in the cryptocurrency market, with the overall market capitalization decreasing by 1.05% to approximately $1.73 trillion.

Additionally, BTC recorded a decline of 1.63% in the last 24 hours, trading at $44,794.

Many other cryptocurrencies also suffered losses. Solana (SOL) leads with a 10% decline, followed by avalanche The daily loss rate is 9%.

It is suggested that the sale could receive support from investors, who would particularly profit in anticipation of the expected approval. US Spot ETF.

Despite the recent decline, Bitcoin actually defied the negative sentiment in global markets by initially showing an increase of almost 6% in early January.