A deposition from Binance.US' chief operating officer claims the SEC’s suit last year caused banks to pull support from the exchange, “effectively choking the business.”
Binance.US was dealt a “near-mortal blow” after a June lawsuit from the United States Securities regulator, forcing it to terminate over 200 staff as revenues “imploded,” according to an executive at the firm.
“To banks, we’re radioactive,” Binance.US chief operating officer Christopher Blodgett said in a December deposition shared in a March 5 court filing in the SEC’s case against the U.S. arm of crypto exchange Binance.
“Who can blame them? Because the second it becomes known that they’re working with Binance.US, they can reasonably expect a nasty subpoena from the SEC,” he said.
