According to a court filing signed by Judge Amy Berman Jackson, the US Securities and Exchange Commission (SEC) lost its bid to classify sales of $BNB , Binance's native token, on the secondary market, and the stablecoin Binance USD (BUSD) as securities. The court also highlighted inconsistencies in the SEC's stance and noted that more facts were needed to process what the SEC stated.
According to the filing, the SEC's contention is based on the idea that if BNB was initially sold as an investment contract, subsequent token sales would also be considered a sale of securities. However, the court held that this statement did not apply, because it did not consider the specific details and context of each secondary transaction. In other words, just because a BNB token is initially sold as an investment contract does not mean it remains a security throughout its life cycle.
