CFTC Sues Binance A Deeper Look

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CFTC Sues Binance A Deeper Look

You'll notice a lot of what I write about is new news around crypto but attempt to do my best to dig deeper into it and figure out possible underlying attacks and things going on between crypto and the government.

I also express my own opinions and thoughts on the matter.

The big news breaking today is the CFTC sues Binance over Willful Evasion of U.S laws and unregistered crypto derivatives products.

Let's take a step back for a moment and figure go over the following...

What Is The CFTC ?

The CFTC stands for Commodity Futures Trading Commission. It's another arm of the United States government that was created in 1974. Unlike the SEC who is suppose to regulate the securities market the CFTC regulates what's known as the derivatives market. This derivatives market includes things like futures, swaps, and some options.

What Is A Derivative?

A derivative is a type of financial contract whose value is dependent on a underlying asset, group of assets or benchmark.

When we step back and look at that we can see that the CFTC over the SEC most likely has a lot more leg room against crypto as many assets including those of stable coins are exactly that. A token that has underlying assets or a group of assets that make up its value.

What Is Binance Being Sued Over?

Well through their little webinars they do with people a few of them have said to use VPNs along with other methods to bypass or in harsher terms "evade" rules and regulations in the USA while targeting those in the USA.

It's funny because I honestly stopped using any of these exchanges years ago. When the government stepped in and started to require KYC etc I got the F out of there. I don't believe in giving the government more and more oversight of my life and is why a warrant is required to get that type of information.

The 4th amendment gives the right to citizens to be secure in their belongings without warrant for unreasonable searches and seizures. This has been wasted over the years as the government continues to track everything and watch everything ever since the 2001 terrorist attacks in which an executive order called 13224 which continues to be renewed every year and never has gone to congress to be overthrown. It gives the government full control to watch and monitor all assets so those assets can be frozen at any time through other governments around the world. This is now reaching into crypto and is one of the biggest drives to oversight battle currently.

As more and more pressure like this comes down on crypto exchanges I see a harder push for decentralized systems and security tokens becoming one of the last lines of defense. Now I'm not saying these things are not used and wont be used by bad actors but you don't tell me that the FIAT system is any better. If anything crypto is already watched more than non crypto assets in terms of tracking so the whole thing about crypto being worse is nonsense but something that continues to be spun from governments.

Overall all exchanges are getting hammered lately since the FTX mess. Of which lets remember that was the most watched platform out of all of them. Now they are using it as a launch bed for why they need to go after places like Binance, Coinbase etc. When in reality it looks like FTX was in fact a major government funded project which they knew would fail and give them reason to start slapping new laws and rules in place. Once again overstepping and in fact being the ones that created the mess in the first place. This is why myself and I believe any others are becoming more and more trustless of the government and they continue to gobble up more power. It's a very dangerous thing and at some point it boils over into revolution when people have just had enough of it.

The United States Government needs a serious wake up call from it's people that they the government of the people and by the people. This clearly is being eroded over time and has been shaping quickly into for the party and it's personally something I am not fond of.

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I think the CFC is confused, because what they think crypto is, is different from what the SEC thinks crypto is. Bad actors are in every system and I think this is what the US government is refusing to acknowledge. The problem is that it has created another FUD which we now have to recover from.

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I didn't knew about that VPN thing... Tho isn't binance being sued for trading on its own platform through approximately 300 “house accounts” that are all directly or indirectly owned by it's CEO?... US really is going hard against Crypto ever since this rally started.

Not sure where this FUD will take us... Exchanges ain't safe one by one coming to same place, a new chapter.

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If Binance would to fall at some point, there will be the biggest earthquake in the crypto world imo.

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