06-13-2022 icon

Binance’s CEO questions SEC’s investigation pattern into BNB as a registered security

By Lucy Adegbe
Zhao

Changpeng CZ Zhao, the chief executive officer of the global leading cryptocurrency exchange, Binance, has confirmed that the Securities and Exchange Commission has been making inquiries about the BNB coin. 

The company whose operation began in 2017 describes itself on its website’s bio as one of the safest and most secure platforms to buy and sell cryptocurrencies with over 28.6 million users as estimated by businessofapps in October 2021.

Although a dependable platform to its users, the  SEC had earlier disclosed the necessity to ascertain if the BNB token is an officially recorded security.

CZ made public the SEC’s frequent questioning about Binance alongside its products and services at CoinDesk’s Consensus 2022. The company’s executive head, “CZ” mentioned how they have maintained communication with the commission. However, there has not been an announcement inferring that the company has been subpoenaed. 

The securities and exchange commission have refuted making comments that would deduce the presence of a legal investigation and would rather lean on its regular questioning of the exchange company.

Independently, Binance is undergoing legal questioning from the Justice division of the Commodity Futures Trading Commission as well as the Internal Revenue Service.