Binance’s Response to the SEC (June 13 – 14)
Over the past week, the Securities and Exchange Commission (SEC)‘s alleged violations of the Securities and Exchange Act against exchanges have “discolored” the majority of assets in the market. Even the tokens on the “stock list” have lost more than 20-30% of their value at the previous time. More than $85 billion in capitalization has evaporated from the market, Bitcoin is nearing the 25,000 mark, leaving many investors restless when looking at their spot accounts.
The latest development of the case may come on the 12th (US time), as this is the deadline for Binance to respond to the SEC temporary freeze order filed in the court. After that, the hearing on the case will take place on the 13th. Surely Binance will have to respond to the matter in great detail to counter the SEC complaint, or the court will take action against the court. The largest exchange in the world.
The ban is certainly not what Binance wants, as the exchange has suffered heavy losses even though the incident only started at the beginning of last week. According to DeFiLlama, the outflow of Binance within 7 days (since the SEC alleges) exceeded $3.35 billion – a huge amount for any decentralized exchange. But according to Changpeng Zhao (CZ) – CEO of Binance, high inflow and outflow is normal in the market.
Venus Protocol has approved the VIP-79 proposal for the BNB Chain team to be the sole liquidator for a position worth over $200 million established by a hacker in October 2022. The crypto community was in a panic when it couldn’t find the confirmation tweet last year, but Venus Protocol quickly posted the information to correct and update the situation more fully for investors. 2 million USD of BNB sold on Binance will cause the coin price to drop 2%. If the position on Venus Protocol is liquidated, BNB will surely suffer a deep drop beyond the imagination of investors. According to 0xScope, the liquidity wallet address is holding $60 million in readiness for BNB to drop below $220.
US Congressional hearing on crypto (June 14)
The crypto market in the world’s largest economy has become increasingly frustrating for many investors when the SEC – under the leadership of Mr. Gary Gensler has brought many companies to court. Mr. Gensler has clearly expressed his anti-crypto stance and has always said that apart from Bitcoin, all tokens on this market are securities. Although, while standing on the podium of MIT, Mr. Gensler once asserted that three-quarters of crypto market tokens are not related to securities.
CPI and Fed meeting (June 13 – 15)
The consumer price index (CPI) has long been an important measure to assess the rise and fall of prices and inflation in the economy.
Currently, the crypto market is very much looking forward to the Fed’s pause to raise interest rates next Thursday, even the FedWatch Tools gauge is supporting this when more than 75% are leaning towards this possibility. Whatever the case, volatility in the market is bound to be huge, which could make June 15 a rough night for many crypto investors.
