- Binance and SEC seek 60-day case pause amid ongoing settlement negotiations.
- SEC’s Crypto Task Force drives efforts for clearer digital asset regulations.
- Ripple and SEC move closer to finalizing a settlement after withdrawing appeals.
The legal standoff between cryptocurrency exchange Binance and the U.S. Securities and Exchange Commission (SEC) has entered a new phase after both sides jointly requested a 60-day extension to pause proceedings. The move, disclosed through a recent filing at the U.S. District Court, signals progress in negotiations to resolve the long-running case.
The SEC initially sued Binance in 2023, accusing the exchange and its former CEO Changpeng Zhao (CZ) of multiple violations, including operating as an unregistered broker, exchange, and clearing agency. Additional allegations involved combining customer funds and manipulating trading volumes on Binance US, the exchange’s U.S. affiliate.
The case has been set to several instances mostly due to on-going consultation processes and legislative progress. If granted by the court, the new extension sought here will add another 2 months in the stay so that arrangements for the deal can still be made while waiting for the various regulatory approvals.
Constructive Communications Signal Progress
According to the joint court filing, the SEC and Binance confirmed their recent discussions were constructive. The parties clarified that the pause in proceedings would serve the best interest of the judicial economy. They also indicated that the additional time would allow them to finalize settlement terms and obtain the required authorizations for any agreement.
The SEC stated that one of the reasons for the delay is due to its recently formed Crypto Task Force. Created early in 2025, this will be a task force seeking to enhance clarity and offer specific guidelines in regulating the digital asset industry. The group is likely to decide new enforcement actions and settlements that will involve the crypto firms largely.
The collaborative tone of the recent filing contrasts with earlier confrontations between Binance and the SEC. However, both sides recognize that continued dialogue could lead to a resolution that aligns with evolving regulatory standards.
Binance’s Legal Troubles Since 2023
Binance has faced several legal and regulatory challenges since the SEC filed its lawsuit in 2023. In addition to the SEC case, Binance and CZ were also subject to enforcement action by the U.S. Department of Justice (DOJ). In November 2023, CZ resigned from his role as CEO after entering a guilty plea to charges of operating an unlicensed money transmitting business and violations of anti-money laundering regulations.
Binance signed a formal agreement with the United States Department of Justice where it made over $4 billion in fines. Criminal charges were placed against CZ in April of 2024 and he was imprisoned for four months before being released in September of the same year. However, Binance has remained functional and is involved in the discussions of the Crypto Task Force of the SEC.
The task force, formed in February 2025, aims to create consistent regulatory practices across the digital asset space. In the Binance case, regulators are stepping up their attention to compliance-related matters and trying to provide certain guidance to market participants.
Ripple and SEC Settlement Also Advances
In another related development, the officials from the Ripple Labs and the United States Securities and Exchange Commission regulators are within striking distance of reaching the end of the highly publicized case that started a few years ago. Both parties have said that they are willing to reach the solution once they move to the Second Circuit of the United States Court and file motions to appeal.
Speaking about the developments in the SEC case, Ripple’s CEO said that the SEC intends to dismiss a number of cases linked to the court ruling in July, in which Ripple prevailed. However, the proposed settlement is still pending the approval of the Internal Security and Exchange Commission.
The legal representatives of Ripple also stated that after the resolution is approved by the SEC Commission, the District Court will give a generic decision to formalize the settlement. Market analysts believe that this process will occur when Paul Atkins takes over as Chairman of the SEC.
