02-14-2023, 02:21 AM
SEC to Sue Crypto Trust Co. Paxos Over Binance Stablecoin: WSJ
<!-- SC_OFF --><div class="md"><p><a href="https://www.coindesk.com/policy/2023/02/13/sec-to-sue-crypto-trust-co-paxos-over-binance-stablecoin-wsj/">Coindesk.com - SEC to Sue Crypto Trust Co. Paxos Over Binance Stablecoin: WSJ</a></p> <p>TLDR:</p> <p>The U.S. Securities and Exchange Commission (SEC) intends to sue stablecoin issuer Paxos, which is behind the USDP and BUSD tokens.</p> <p>Spokespeople for Paxos did not immediately return requests for comment.</p> <p>After Bloomberg reported that there were issues with how PBUSD's backing was displayed, Binance said on a <a href="https://www.binance.com/en/blog/ecosystem/how-we-back-binancepeg-busd-and-explaining-historical-discrepancies-7761334533351669941">blog post</a> that "on occasion in the past, there was a timing mismatch in backing Binance-Peg BUSD with BUSD. <strong>BUSD is fully backed by USD cash and cash-equivalent reserves.</strong></p> <p>​</p> <p>EDIT1 - Just in: <a href="https://www.wsj.com/articles/crypto-firm-paxos-to-stop-issuing-dollar-pegged-binance-token-94f65e52">WSJ: Crypto Firm Paxos to Stop Issuing Dollar-Pegged Binance Token</a></p> <p>other non paid article: <a href="https://cointelegraph.com/news/paxos-ordered-to-stop-issuing-binance-usd-report">Breaking: Paxos reportedly ordered to stop issuing Binance USD</a></p> <p>BNB already taking the hit: <a href="https://coinmarketcap.com/currencies/bnb/?period=7d">BNB price on CMC</a></p> <p>EDIT 2: <a href="/u/TripTryad">u/TripTryad</a> point out: CZ on Twitter a short time ago: "BUSD, even though called Binance USD, is NOT issued or redeemed by Binance."</p> <p><a href="https://twitter.com/cz_binance/status/1625054435532578816?cxt=HHwWgIC9qcaZrY0tAAAA">https://twitter.com/cz_binance/status/1625054435532578816?cxt=HHwWgIC9qcaZrY0tAAAA</a></p> <p>Heres the tweet storyline: <a href="https://twitter.com/cz_binance/status/1625067484368740353?cxt=HHwWgoCx3YuRs40tAAAA">https://twitter.com/cz_binance/status/1625067484368740353?cxt=HHwWgoCx3YuRs40tAAAA</a></p> </div><!-- SC_ON --> submitted by <a href="https://www.reddit.com/user/Allions1"> /u/Allions1 </a> <br/> <span><a href="https://www.reddit.com/r/CryptoCurrency/comments/1112pgj/sec_to_sue_crypto_trust_co_paxos_over_binance/">[link]</a></span> <span><a href="https://www.reddit.com/r/CryptoCurrency/comments/1112pgj/sec_to_sue_crypto_trust_co_paxos_over_binance/">[comments]</a></span>
<!-- SC_OFF --><div class="md"><p><a href="https://www.coindesk.com/policy/2023/02/13/sec-to-sue-crypto-trust-co-paxos-over-binance-stablecoin-wsj/">Coindesk.com - SEC to Sue Crypto Trust Co. Paxos Over Binance Stablecoin: WSJ</a></p> <p>TLDR:</p> <p>The U.S. Securities and Exchange Commission (SEC) intends to sue stablecoin issuer Paxos, which is behind the USDP and BUSD tokens.</p> <p>Spokespeople for Paxos did not immediately return requests for comment.</p> <p>After Bloomberg reported that there were issues with how PBUSD's backing was displayed, Binance said on a <a href="https://www.binance.com/en/blog/ecosystem/how-we-back-binancepeg-busd-and-explaining-historical-discrepancies-7761334533351669941">blog post</a> that "on occasion in the past, there was a timing mismatch in backing Binance-Peg BUSD with BUSD. <strong>BUSD is fully backed by USD cash and cash-equivalent reserves.</strong></p> <p>​</p> <p>EDIT1 - Just in: <a href="https://www.wsj.com/articles/crypto-firm-paxos-to-stop-issuing-dollar-pegged-binance-token-94f65e52">WSJ: Crypto Firm Paxos to Stop Issuing Dollar-Pegged Binance Token</a></p> <p>other non paid article: <a href="https://cointelegraph.com/news/paxos-ordered-to-stop-issuing-binance-usd-report">Breaking: Paxos reportedly ordered to stop issuing Binance USD</a></p> <p>BNB already taking the hit: <a href="https://coinmarketcap.com/currencies/bnb/?period=7d">BNB price on CMC</a></p> <p>EDIT 2: <a href="/u/TripTryad">u/TripTryad</a> point out: CZ on Twitter a short time ago: "BUSD, even though called Binance USD, is NOT issued or redeemed by Binance."</p> <p><a href="https://twitter.com/cz_binance/status/1625054435532578816?cxt=HHwWgIC9qcaZrY0tAAAA">https://twitter.com/cz_binance/status/1625054435532578816?cxt=HHwWgIC9qcaZrY0tAAAA</a></p> <p>Heres the tweet storyline: <a href="https://twitter.com/cz_binance/status/1625067484368740353?cxt=HHwWgoCx3YuRs40tAAAA">https://twitter.com/cz_binance/status/1625067484368740353?cxt=HHwWgoCx3YuRs40tAAAA</a></p> </div><!-- SC_ON --> submitted by <a href="https://www.reddit.com/user/Allions1"> /u/Allions1 </a> <br/> <span><a href="https://www.reddit.com/r/CryptoCurrency/comments/1112pgj/sec_to_sue_crypto_trust_co_paxos_over_binance/">[link]</a></span> <span><a href="https://www.reddit.com/r/CryptoCurrency/comments/1112pgj/sec_to_sue_crypto_trust_co_paxos_over_binance/">[comments]</a></span>