We are disappointed that the SEC today decided to file a lawsuit against Binance and, among other remedies, requested an emergency settlement. We have always actively cooperated with SEC investigations and have made every effort to answer questions and address concerns. More recently, active negotiations have been underway to resolve all issues related to the investigations through dialogue. But despite our efforts, the SEC, in filing its lawsuit today, chose to unilaterally abandon the process and pursue litigation. We are extremely disappointed with this decision.

We take the SEC's allegations seriously, but they should not be the subject of an enforcement action, especially not on an emergency basis. We are committed to protecting our platform with all available means. Unfortunately, the SEC's failure to engage with us is yet another example of the Commission's misguided and willful failure to provide much-needed clarity and clarification about regulation of the digital asset industry.

Today's action, as with other crypto projects facing similar lawsuits, is yet another example of the Commission choosing to regulate through enforcement and litigation rather than through the thoughtful, nuanced approach that this dynamic and complex technology requires. . Unilaterally assigning securities status to individual tokens, services, and services (even those over which other US authorities have established jurisdiction) only exacerbates the problem.

The SEC's actions undermine the US's role as a global center of financial innovation and leadership. In most countries around the world, digital asset laws have not yet been developed, and regulation through enforcement is not the best way forward. Creating an effective regulatory framework requires collaborative, transparent and thoughtful collaboration. Unfortunately, the SEC has abandoned this path.

Any claims that user assets on the Binance.US platform were ever at risk are simply not true. The Commission's actions are completely unjustified, since they had enough time to conduct an investigation. All user assets on Binance and Binance partner platforms, including Binance.US, are safe and secure. We will vigorously defend our position against any accusations to the contrary. The SEC's action appears to be an attempt to rush to take away rights from other regulators, and investors do not appear to be the SEC's priority. Due to its size and global fame, Binance is an easy target, caught in the middle of a bitter battle with the US regulator.

Given the way the situation is developing, it appears that the SEC's goal was never to protect investors. If this were indeed the case, the Commission would continue to work closely to support our commitment to demonstrating the security and reliability of the Binance.US platform. It appears the SEC's real intention is to make headlines.

We will continue to work with regulators and legislators in the US and around the world because it is the right thing to do. Binance remains committed to effective collaboration to ensure that future cryptocurrency regulations promote innovation while protecting consumers. Since Binance is not a US exchange, the SEC's actions are limited in scope. However, we, along with participants in the digital asset market in the United States, oppose the abuse of power of the SEC and are ready to fight it to the fullest extent of the law.

We will work with industry partners to protect this important technology from frivolous lawsuits. We will also continue to develop our safe and secure platform for users, consistent with our mission to promote money freedom.