In an unexpected turn of events, a representative named “Eeon” has emerged, claiming to speak on behalf of Binance clients and intervening in a securities lawsuit involving the popular cryptocurrency exchange. Eeon and the affected consumers argue that their interests were not adequately considered in the court’s decision, which designated them as “Customers” in an order on June 17, 2023.
The matter concerns indictments filed against Binance with the U.S. Securities and Exchange Commission (SEC) on June 5. Eeon’s remarks specifically pertain to the SEC’s attempt to limit Binance’s access to U.S. funds through a consent order issued on June 17. Despite Binance and the SEC settling the dispute, Eeon intends to appeal the ruling.
Addressing Binance directly, Eeon opposed the exchange’s and its affiliates’ control over user Bitcoin (BTC) keys and preventing user withdrawals. Notably, U.S. authorities had restricted customers from withdrawing U.S. dollars starting around June 13.
Eeon’s objectives, as outlined in various filings, take on multiple forms. Primarily, the group seeks the resumption of routine withdrawals for all Binance customers in the United States, unless the SEC can provide evidence to the contrary. It emphasizes the importance of avoiding a wholesale sell-off of assets, as it could significantly disrupt the BTC market.
In a separate document, Eeon goes a step further and files a counterclaim, demanding sanctions against both Binance and the SEC. Eeon requests daily payments of $1,000 for each affected client, representing 20% of the value of withheld funds multiplied by the number of days in the month.
Within this second filing, Eeon accuses Binance and others of theft and fraud. However, Eeon acknowledges that Binance did limit withdrawals and deny customers access to their assets in compliance with a court order. Furthermore, Eeon argues that the SEC has a conflict of interest, given its accusations of misconduct against consumers, which renders it unable to fulfill its role as their legal counsel.
The intervention by Eeon and the impacted clients adds another layer of complexity to the ongoing legal proceedings. As the situation develops, it remains to be seen how Binance, the SEC, and the court will respond to these demands and accusations.