The SEC has officially dropped its lawsuit against Binance and its founder Changpeng Zhao (aka CZ), putting an end to a 2-year lawsuit. The agency had accused the exchange of illegally operating in the U.S. and mishandling user funds, but after two years, the SEC is stepping down.
The dismissal is “With Prejudice”, meaning the SEC cannot refile the lawsuit or pursue Binance for the same allegations. Moreover, Binance and CZ waived their right to seek reimbursement, meaning they cannot ask for legal fees or damages from the U.S. government for how the lawsuit was handled.
This follows Binance’s massive $4.3 billion settlement with the DOJ and the U.S. Treasury last year. As part of that deal, CZ pleaded guilty to violating anti-money laundering laws, stepped down as CEO, and handed over the reins—though he’s still holding on to a big chunk of his crypto fortune.
The decision to drop the case follows suit with what we’ve seen from the SEC in 2025. Over the past months, multiple investigations into major exchanges, DeFi projects, and stablecoin issuers have been closed.
Meanwhile, the Justice Department has shut down its crypto task force, and the CFTC has brought in new leadership that’s more crypto-friendly. All signs are pointing to a regulatory cooldown in 2025 as Washington rethinks its approach to digital assets.
A $2 Billion Deal and a Trump-Linked Stablecoin
Binance is close to locking in a $2 billion investment from Emirati sovereign fund MGX. The entire deal is set to be denominated in USD1, a new stablecoin created by World Liberty Financial—a group reportedly tied to the Trump family.
USD1 is a dollar.-backed digital currency, which could give Binance a powerful new tool as it looks to expand into regulated markets. And while the SEC backing off might just be well-timed coincidence, some think it’s clearing the runway for Binance to make a comeback in the U.S.
With regulatory heat cooling down and billions on the table, Binance seems poised to re-enter the American scene.
For readers exploring new exchanges, WEEX is currently offering early users a chance to claim up to 100 USDT just for signing up and verifying — no strings attached.
