Binance CEO Rejects SEC's Allegation Regarding Wallet Provider Ceffu
Binance CEO Changpeng "CZ" Zhao has responded to allegations the US Securities and Exchange Commission (SEC) raised regarding Binance.US's association with wallet provider Ceffu.
The SEC has expressed suspicions that the wallet might be linked to Binance's partner company, BAM.
On Tuesday, Zhao refuted these claims on X (formerly known as Twitter), stating: "I want to clarify that Binance US has never utilized Ceffu or Binance Custody. These claims are unfounded."
Ceffu has become entangled in the ongoing dispute between the SEC and Binance, with the regulatory body suspecting it may have control over customer assets.
Additionally, the SEC requested further information from BAM, as mentioned in a court filing submitted on September 18 in its motion to compel BAM. However, at press time, BAM has not complied with this request.
In the filing, the SEC claimed that the wallet provider is indeed linked to Binance.US. This contradicts the crypto company's prior assertions in court documents that Ceffu had no connection to them.
Meanwhile, Binance.US has argued that the SEC's document demands are excessively broad and unduly burdensome, as stated in its unsealed document on Monday.
The redacted filing by the SEC also argued that BAM's request for a protective order against the SEC investigation lacks merit and urged the court to deny the request.
BAM made this request on August 14 in the US District Court for the District of Columbia. It characterized the SEC's investigation as a "fishing expedition" – an attempt to find incriminating evidence without saying the purpose of the search.
The ongoing exchanges have heightened tensions between the two parties in recent weeks as Binance seeks to limit the SEC's investigative actions through
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