Judge Amy Berman Jackson issued several orders and addressed the amicus brief filed by USDC issuer Circle ahead of the crucial hearing in the SEC vs. Binance legal showdown.
As the legal showdown between the world’s largest cryptocurrency exchange, Binance, and the United States Securities and Exchange Commission (SEC) rages on, a pivotal hearing is scheduled for October 12. In preparation for this critical event, Judge Amy Berman Jackson has issued several orders to address pending motions and legal proceedings, including an amicus brief filed by Circle, the issuer of the USDC stablecoin.
Judge Jackson’s Multiple Orders
In response to various filings dated October 11, Judge Amy Berman Jackson has issued a series of orders aimed at streamlining the legal process in the U.S. SEC vs. Binance lawsuit. Among these orders, Judge Jackson accepted Circle Internet Financial as an amicus curiae, signifying their impartial stance in support of neither party.
Circle’s involvement pertains to the dismissal motions filed by Binance and its CEO, Changpeng Zhao (CZ). The core of Circle’s claim is that stablecoins should not be classified as securities, highlighting the SEC’s supposed lack of authority in regulating payment-based stablecoins. Circle’s argument emphasizes both the legal and practical implications of the SEC’s role in overseeing the payment of stablecoins.
The court’s minute order also specifies that any future requests to file an amicus brief should be accompanied by no more than two motions to appear pro hac vice. Additionally, these requests must provide a clear explanation of why the amicus brief would be beneficial or necessary, especially if it conveys a viewpoint that has already been presented in prior amicus briefs filed during this case.
Furthermore, Judge Jackson asserts that an amicus curiae may participate in oral arguments solely with the court’s explicit permission.
Legal Representation and Electronic Filing
Judge Jackson’s orders also addressed the appearances of attorneys Jeremy Gray, Mark W. Rasmussen, Heath P. Tarbert, Eric Tung, and Daniel Kaleba in their capacity to appear pro hac vice for their respective clients. However, they must adhere to specific requirements: lawyers or at least one member of their firms must undergo CM/ECF (Case Management/Electronic Case Filing) training, obtain a CM/ECF username and password, and agree to file documents electronically.
Binance’s Fight to Dismiss the Lawsuit
In response to the SEC’s lawsuit, Binance, along with its U.S. subsidiary and CEO CZ, filed a motion seeking the dismissal of the agency’s allegations. The defendants argue that the SEC has overreached its jurisdiction. The SEC’s allegations include various claims, such as mishandling customer funds, misleading investors and regulators, and violating securities regulations.
Notably, other cryptocurrency firms, including Coinbase, are also seeking to have the lawsuit dismissed. These companies argue that the SEC is attempting to expand its regulatory authority over the cryptocurrency industry. The upcoming hearing holds significant importance in shaping the outcome of this ongoing legal dispute.