US Regulators Investigating Binance's BNB Token

According to Bloomberg, the SEC is looking into whether Binance's initial coin offering of its Binance coin (BNB) token in 2017 was an unregistered security offering that should have been registered with the regulatory agency. CoinDesk reports: Without commenting on the details of the reported probe, a spokesperson for Binance told CoinDesk via email, "As the industry has grown at a rapid pace, we have been working very diligently to educate and assist law enforcement and regulators in the U.S. and internationally, while also adhering to new guidelines. We will continue to meet all requirements set by regulators." BNB was trading down 4% after news of the report came out. The SEC is also investigating market-making companies owned or partially owned by Binance CEO Changpeng Zhao that do business with Binance.US, a U.S.-based affiliate of the global exchange, [...]. According to the report, one of the SEC's focuses is on whether Binance.US is wholly independent of the global exchange and whether employees may be involved in insider trading.

Read more of this story at Slashdot.