The Securities and Exchange Commission (SEC) has taken an unexpected step in its ongoing case against Binance, the world’s leading crypto exchange. This week, the SEC submitted a sealed motion with over 35 exhibits to the court. Filing documents “under seal” is not common practice for the SEC and allows for the submission of sensitive or confidential information to the court without making it publicly accessible. John Reed Stark, a former SEC official, commented on the matter, saying that this filing is “unusual, odd, and uncommon” and that he can’t recall ever seeking to file a motion or any other court document under seal in his almost 20 years in the SEC Enforcement Division. Reed speculates that the SEC‘s secret court filing “likely touches upon nonpublic Binance-related money laundering allegations or other potential criminal conduct.” In June, the SEC accused Binance of mishandling customer funds, misleading investors and regulators, and breaking securities regulations. Last month, a report from Semafor mentioned that sources close to the matter said the Justice Department was thinking about filing fraud charges against Binance. However, officials were concerned this might lead to a bank run like the one that happened with FTX in 2022.

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Information	Details
Geography	Global
Countries
Sentiment	negative
Relevance Score	8
People	Justice Department, SEC, John Reed Stark
Companies	FTX, Binance, Semafor, Justice Department, Securities and Exchange Commission (SEC)
Currencies	US Dollar, FintruX, Ethereum, COIN, Bitcoin
Securities	None