Binance CEO Claims SEC Disregarded Multiple Attempts to Register

Binance’s Chief Executive Officer, Richard Teng, has expressed concerns over the lack of response from the Securities and Exchange Commission regarding their inquiries about licensing and regulations for the cryptocurrency exchange.

A recent communiqué shared by Sunday PUNCH highlighted Teng’s critique of the SEC for neglecting to engage with Binance on several requests for regulatory clarity and licensing procedures.

Teng pointed out that despite multiple correspondences dispatched to the SEC seeking advice on the rules for virtual asset service providers, they have yet to receive any reply.

He voiced his exasperation and disappointment in the SEC’s silent stance, which has led to a cloud of uncertainty and numerous obstacles for their operations.

Highlighting an instance of their attempts, Teng mentioned, “For instance, in our letter from June 22, 2022, we extended an olive branch to the SEC, inviting them to join forces with us and other industry stakeholders to enhance transparency in applying the new regulations, particularly concerning the synergy of these regulations with the Central Bank of Nigeria’s stance, licensing costs, and their implications on banking relations in the area.”

In addition, it was revealed that Binance reaffirmed its intention to work collaboratively with the SEC and adhere to the pertinent laws in their communication.

Teng added that they also proposed a meeting with the SEC yet received no acknowledgement.

“Once again, we got no response. We haven’t stopped our constructive interactions with the SEC, having most recently provided our thoughts on their revised regulations on March 29, 2024,” he remarked.

The Nigerian government has pointed fingers at Binance, alleging that it has contributed to the naira’s devaluation by manipulating exchange rates on its platform.

Consequently, Binance had to cease naira transactions on their platform amidst Nigeria’s increasing crackdown on crypto trading.

The Economic and Financial Crimes Commission has charged Binance and its personnel with masking the origins of their Nigerian revenues, accusing these revenues of being the proceeds of illegal activities.

In a March notification, the SEC announced its intention to hike registration fees for crypto firms by 400 percent, double the minimum capital requirements for crypto service applicants, and indicated that it is working on comprehensive regulatory guidelines for the digital asset sector.

Most recently, on Monday, the SEC vowed to eliminate naira trading from peer-to-peer platforms, a move seen as an effort to recuperate the failing naira value.

The SEC’s Director General, Emomotimi Agama, stated, “One crucial measure we must enact to preserve this domain is the removal of the naira from P2P platforms, to curb the current levels of manipulation being observed.”