The U.S. Securities and Exchange Commission and Binance have agreed to delay their lawsuit by 60 days so the SEC’s Crypto Task Force can assess its work. It represents the initial suspension request that has emerged under Acting SEC Chair Mark Uyeda.
On February 10 the parties filed a request to delay their case proceedings which relates to changes within the SEC Crypto Task Force. The joint team of SEC and Binance will provide details by the end of 60 days about how they want to proceed next.
SEC’s Evolving Legal Strategy
The joint application between SEC and Binance brings no harm to anyone and an immediate resolution through this stay will save both parties money. According to business analysts other crypto companies such as Ripple, Coinbase, and Kraken may choose to file identical motions in response to this development.
Binance supports interim Chairman Uyeda’s efforts to create proper controls for digital assets. Uyeda initiated his first substantial action as interim SEC chair when he formed the Crypto Task Force on January 21 following this motion. SEC Commissioner Hester Peirce leads the Crypto Task Force to develop better rules that help businesses in the digital asset market. She stated:
“Determining how best to disentangle all these strands, including ongoing litigation, will take time. It will involve work across the whole agency and cooperation with other regulators. Please be patient.”
Based on his past remarks Peirce has criticized the SEC because of its unclear regulatory approach to crypto which he finds impractical to implement. In an interview Fox Business reporter Eleanor Terrett revealed this represents the first crypto case stop requested by acting SEC chair Uyeda indicating other companies may use Binance’s approach.
Bye, bye SAB 121! It's not been fun: https://t.co/cIwUc0isUE | Staff Accounting Bulletin No. 122
— Hester Peirce (@HesterPeirce) January 23, 2025
This motion affects how the SEC will regulate crypto in the future and what companies operating in this space need to follow.
