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Comment by LatteLazy | Hacker News Reader

The SEC and CFTC missed FTX being the worlds largest fraud. Now they are desperately going after Binance for... being above board but not getting the right license, during a period when no licenses were offered (and still aren't). At what point is this just pointless bullshit, let exchanges register, regulate them like other exchanges (segregated funds etc) and fuck off already.

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How do we know that Binance is "above board" when they have never published a GAAP audit and their auditors have taken down their "proof of reserves"?

“ The S.E.C. said the world’s largest cryptocurrency exchange mixed “billions of dollars” in customer funds and secretly sent them to a separate company controlled by Binance’s founder, Changpeng Zhao.”

> during a period when no licenses were offered (and still aren't).

Uh there’s usually an important reason licenses aren’t offered for something that might otherwise require a license…and it’s not an excuse to do that thing anyway.

> being above board

SEC has alleged multiple efforts to lie and deceive both regulators and users. It's hard to see how that qualifies as "above board".

The burden is on SEC to prove these allegations. If they took YOU to court, calling YOU a thief, you would expect the burden to be on them, right?

Yes of course. That is why I used the word "alleged".

My point stands, the SEC is not going after Binance just for "being above board but not getting the right license".

The SEC has done nothing in good faith with regards to crypto in the last 8 years.

>The burden is on SEC to prove these allegations. If they took YOU to court, calling YOU a thief, you would expect the burden to be on them, right?

WELL, the former CEOs of Binance.US who quit after realizing CZ was the real CEO against what was supposed to be the real setup seem to have testified to the SEC...along with hints the SEC has a big pile of private messages.

A lot of “decent” people here would testify against their mother if the SEC showed up. I’m not convinced. Gensler is a fraud who is captured by monied interests. He is on your side for now, given that many here share the “MIT crypto teacher” desire to destroy that industry. Let’s see how it all plays out.

how exactly was binance prohibited from registering itself as an exchange in the US?

Your bias is showing.

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