Crypto Compliance and Lawsuits: A Rough Week for Binance and Coinbase

SEC Chair Gary Gensler outlined multiple paths for crypto projects to register with the agency and comply with securities law, while criticizing Binance and pushing back on arguments made by Coinbase. Gensler noted that Binance executives knowingly broke the law and redirected billions in customer assets to investment vehicles owned by CEO Changpeng ‘CZ’ Zhao. He also pointed out that Coinbase made a calculated economic decision to take the risk of enforcement as the cost of doing business.