A
A

Crypto: Binance Under SEC Pressure - USDC Plays Its Trump Card

Fri 13 Oct 2023 ▪ 3 min of reading ▪ by Evans S.
Getting informed Crypto regulation

At the crossroads of financial giants, the crypto arena has become the scene of a legal drama that could redefine the future of digital currencies. At the center of this storm, Binance finds itself in the crosshairs of the dreaded US SEC. And, as the stakes continue to rise, Circle, the issuer of stablecoin USDC, invites itself to the negotiating table.

Crypto: Binance faces SEC, Circle intervenes

Circle’s Surprise Intervention

As the legal battle between Binance and the SEC intensifies, a new voice emerges from the chaos: Circle. By filing an amicus curiae brief, this company aims to influence the course of events.

Their angle? Stablecoins, especially the USDC, should not be considered securities. According to Circle, these assets pegged to the U.S. dollar primarily serve as a medium of exchange, without the promise of future profits.

It’s a subtle nuance, but one that could have significant implications for the entire crypto sector.

The Crucial Role of Amicus Curiae and Its Impact on the Crypto Landscape

Amicus curiae is a unique legal figure. While not directly involved in the lawsuit, it is invited to provide expertise to enlighten the court.

In this case, Judge Amy Berman Jackson has granted Circle this valuable role. But why is it so important? Because Circle, as the issuer of USDC, brings a unique perspective on the trial’s issues.

However, their intervention is delicate. Although the judge has allowed their participation as amicus curiae, their role in oral arguments will depend on explicit authorization from the court.

Beyond Binance, this case could have profound repercussions on the entire crypto world. If the SEC prevails, it could set a precedent for other exchanges and market actors.

Circle’s intervention, while strategic, demonstrates how complex the case is. The ramifications extend far beyond Binance. Other actors, such as Paradigm, have also taken a stance, showing how crucial the outcome of this trial is for the future of cryptocurrency.

The crypto sphere, always full of surprises, stands at the threshold of a significant turning point. The outcome of the trial between Binance and the SEC, reinforced by Circle’s intervention, will likely shape the future direction of the sector.

The cryptocurrency industry, once considered a niche, is now under the scrutiny of major regulatory bodies. Every decision, every verdict, shapes the future of a still-young crypto market with a promising future. Meanwhile, USDC remains in the steep race.

Maximize your Cointribune experience with our 'Read to Earn' program! Earn points for each article you read and gain access to exclusive rewards. Sign up now and start accruing benefits.


A
A
Evans S. avatar
Evans S.

Fasciné par le bitcoin depuis 2017, Evariste n'a cessé de se documenter sur le sujet. Si son premier intérêt s'est porté sur le trading, il essaie désormais activement d’appréhender toutes les avancées centrées sur les cryptomonnaies. En tant que rédacteur, il aspire à fournir en permanence un travail de haute qualité qui reflète l'état du secteur dans son ensemble.

DISCLAIMER

The views, thoughts, and opinions expressed in this article belong solely to the author, and should not be taken as investment advice. Do your own research before taking any investment decisions.