How an Appeals Court Ruled on an Aspiring Class-Action Lawsuit Against Binance
Summary
A federal appeals court ruled that Binance must face a class-action lawsuit from U.S. crypto investors alleging the exchange allowed them to buy and trade unregistered securities. The ruling addresses jurisdiction and statute of limitations, asserting that U.S. laws apply to transactions on exchanges based outside the U.S. The court emphasized the nexus to the U.S. in terms of trades, payments, and terms of service. The ruling has implications for the SEC's case against Binance and challenges the exchange's argument of being decentralized. The plaintiffs' suit was found to be within the statute of limitations, and the ruling has been used by the SEC to counter Binance's dismissal arguments.
