SEC and Binance Request Judge to Extend Suspension in Ongoing Case

On Friday, lawyers for the U.S. Securities and Exchange Commission (SEC) and Binance requested that a federal judge extend the pause in the SEC's case against the crypto exchange for an additional two months, citing "productive discussions."

The SEC sued Binance in 2023, accusing the exchange — along with its U.S. affiliate and executives, including former CEO Changpeng Zhao — of breaching federal securities laws by operating as an unlicensed clearing agency, broker, and exchange. The SEC also alleged that Binance mixed funds and manipulated trading volume on Binance.US. In February, after U.S. President Donald Trump reassumed office and appointed Commissioner Mark Uyeda as acting SEC chair, the agency sought a 60-day pause in the case, which was set to expire on Monday. The SEC explained its request by referencing the formation of a new crypto task force aimed at providing clearer guidance on how securities laws apply to digital assets.

In Friday's filing, the attorneys involved stated that the discussions covered "how the efforts of the crypto task force may impact the SEC's claims" and requested another 60-day pause.

The filing explained, "Given these ongoing discussions and the time needed for staff to obtain authorization from the Commission to approve any resolution or changes to the scope of this litigation, the SEC asked the Defendants to agree to extend the current stay for an additional 60 days. The Defendants agreed, recognizing that continuing the stay is appropriate and beneficial for judicial economy."