SEC Sues Binance and CEO Zhao for Breaking Securities Rules (2)

The US Securities and Exchange Commission accused Binance Holdings Ltd. and its Chief Executive Officer Changpeng Zhao of mishandling customer funds, misleading investors and regulators, and breaking securities rules.

In a 136-pagecomplaint filed Monday in US federal court in Washington, the SEC laid out a range of alleged violations against the world’s biggest crypto exchange and its leader. For years, they flouted basic know-your-customer rules by letting Americans improperly open accounts and trade, the watchdog said. It’s just the latest legal headache for Zhao and Binance.

“We allege that Zhao and Binance entities engaged in an extensive web ...