Binance and its CEO, Changpeng Zhao seek the dismissal of a complaint filed by the Commodity Futures Trading Commission (CFTC).
The CFTC alleged that Binance crypto exchange violated the Commodity Exchange Act and other federal regulations by operating an illegal digital asset derivatives exchange that offered commodity derivatives transactions to US citizens since July 2019.
According to a recent court filing, the crypto exchange is taking legal action to challenge the CFTC’s accusations.
The complaint was filed on March 27, 2023, and accused Binance of intentionally violating federal law.
The CFTC claimed that the exchange has been facilitating commodity derivatives transactions for US citizens, which is in direct violation of the Commodity Exchange Act.
Note that this act is designed to regulate the trading of commodities and derivatives to protect investors and maintain market integrity.
In response to the CFTC’s allegations, Binance and CZ seek the dismissal of the complaint. The company and its CEO are contesting the accusations, asserting their compliance with all relevant federal regulations.
