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- 1 Some renowned crypto exchanges are facing court charges whose results will decide the fate of the crypto industry in the future.
- 2 The outcome will also clarify the regulations on assets and the stand of exchanges in a more personified way.
Well-known crypto exchanges are facing lawsuits. The SEC has summoned them due to charges of violating security laws. Some of the popular figures of the crypto industry are engaged in fraud and leaking the personal information of clients and organizations.
The outcome is expected to come in 2024 and the result will shape up the crypto economy with a clear stance on regulatory laws and implementation.
The Coinbase Standoff with the SEC
The SEC has summoned Coinbase for violating securities laws. The exchange clarifies that it does not offer securities for sale on its platform and it also provides proper disclosure about the digital assets listed on the platform.
The trial is scheduled for January 17, 2024, with a decision expected by the end of the year. If the exchange wins, it could set an example for other crypto exchanges facing similar accusations.
Binance’s Legal War with SEC
Binance is struggling with a multibillion-dollar settlement with U.S. authorities. The company now faces an important legal challenge in the form of a lawsuit brought by the Securities and Exchange Commission (SEC).
In June 2023, the SEC accused Binance of violating the securities laws. This claim has been denied by the exchange.
Binance Ex-CEO CZ’s Sentence Hearing
Changpeng Zhao (CZ), the CEO of Binance in November 2023, pleaded guilty to facilitating money laundering and terrorism through weak KYC rules. Although he faces 18 months in prison, experts expected a lighter sentence due to his cooperation with authorities and settlement with U.S. regulators.
The hearing for the sentence is scheduled for February 2024. The outcome is predicted to have a notable impact on the cryptocurrency industry as it could either discourage or encourage some executives facing similar charges.
This case’s outcome will also provide insights into how regulators are approaching AML and CTF laws in the cryptocurrency space.
Sam Bankman-Fried Awaits Justice
Sam Bankman-Fried (SBF) was convicted in November 2022 and the reason cited was his involvement in a multi-billion dollar fraud. He faces a maximum sentence of 115 years in prison. The decision is anticipated on March 28, 2024.
The maximum sentence for SBF is astonishing, but the judges have wide options when it comes to sentencing. However, the attorney of SBF has indicated that they plan to argue for a shorter sentence. On the other hand, it is expected that he will face 110 years of sentencing.
Do Kwon’s Extradition: Will It Finally Happen?
The extradition charges on Do Kwon will also reach its final decision in 2024. He is the founder of Terraform Labs and Terra (LUNA). In 2022, Kwon was arrested in Montenegro on charges related to the collapse of Terra’s ecosystem. The incident resulted in the loss of Billions of dollars for investors.
The whole crypto industry will be affected if Do Kwon is extradited to either country. If the same decision comes, it will show that regulators are taking strong action against the crypto fraud and the founders will be held responsible for their actions.
The decision could lead to further regulatory scrutiny of Terraform Labs and its affiliates. Also, the crypto companies operating will work alert and abide by crypto regulations.
Ripple Enters Remedies Phase
Ripple’s ongoing legal clash with the SEC will reach its final decision on February 12, 2024. The outcome has the strength to improve the regulatory vision for digital assets. This will set new standards for the classification of assets.
Steefan George is a crypto and blockchain enthusiast, with a remarkable grasp on market and technology. Having a graduate degree in computer science and an MBA in BFSI, he is an excellent technology writer at The Coin Republic. He is passionate about getting a billion of the human population onto Web3. His principle is to write like “explaining to a 6-year old”, so that a layman can learn the potential of, and get benefitted from this revolutionary technology.
