SEC Labels 10 Tokens Securities in Binance Lawsuit

The SEC has deemed 10 crypto tokens securities — plus Binance’s native tokens


Akif CUBUK/Shutterstock modified by Blockworks


In the SEC’s charges against Binance on Monday, the regulator advanced its constraints against cryptocurrencies, claiming 10 additional tokens were in violation of securities law. 

In federal court documents, the SEC deemed the following tokens securities: SOL, ADA, MATIC, FIL, ATOM, SAND, MANA, ALGO, AXS and COTI. The SEC refers to these ten tokens and others as “crypto asset securities” in its complaint

“Defendants have unlawfully solicited US investors to buy, sell and trade crypto asset securities through unregistered trading platforms,” the SEC wrote in the court filing. 

The SEC has not levied any known civil suits or brought charges against any of their issuers.

The “SEC complaint against Binance and CZ alleges about every possible crypto securities law violation and loops in a ton of tokens,” Mike Selig, counsel in the Asset Management Department and a member of the Willkie Digital Works practice, said in a tweet. The “SEC doesn’t mince words: defendants’ ‘blatant disregard’ of law allowed them to ‘enrich themselves by billions…placing investors’ assets at…risk.’” 

SOL, Solana’s native token, lost as much as 8% Monday on the news of the Binance suit. Polygon’s MATIC and Cardano’s ADA were each down close to 6%. 

In its allegations against Binance, the SEC claimed the world’s largest crypto exchange exchange misappropriated user funds, in a legal action that appeared to bear some similarities to the charges brought against FTX and founder Sam Bankman-Fried. 

SEC says Binance tokens likewise securities

The SEC also claimed that Binance and its executives engaged in unlawful trading and issuing of unregistered securities. 

The SEC said Binance’s native BNB token and stablecoin BUSD are securities, and it categorized a Binance-related staking affiliate as likewise offering unregistered securities. The SEC’s move to list additional tokens in a lawsuit against an exchange is not new. The agency listed 9 crypto tokens as securities in its 2022 lawsuit against a former Coinbase employee over insider trading, which has since been settled.


Upcoming Events

Salt Lake City, UT

MON - TUES, OCT. 7 - 8, 2023

Blockworks and Bankless in collaboration with buidlbox are excited to announce the second installment of the Permissionless Hackathon – taking place October 7-8 in Salt Lake City, Utah. We’ve partnered with buidlbox to bring together the brightest minds in crypto for […]

Salt Lake City, UT

WED - FRI, OCTOBER 9 - 11, 2024

Pack your bags, anon — we’re heading west! Join us in the beautiful Salt Lake City for the third installment of Permissionless. Come for the alpha, stay for the fresh air. Permissionless III promises unforgettable panels, killer networking opportunities, and mountains […]

recent research

Research Report Cover Vertex.jpg


The proliferation of new perp DEXs has led to fragmented liquidity across various DEXs and chains. Vertex, known for its vertically-integrated DEX that includes spot, perpetual, and integrated money markets, is now tackling cross-chain liquidity fragmentation through horizontal integration with the launch of new Edge instances. Vertex's integrated offerings and cross-margined account structure amplify the benefits of new instances: native cross-chain spot trading, optimized cross-chain basis trading, consistent interest rates, reduced bridging friction, and more.


Partnering with EtherFi and Angle, the fully on-chain perp DEX features bespoke collateral



Gavin Wood introduced the next evolutionary step for the Polkadot network: the Join-Accumulate Machine, or JAM


The side events were the places to be at Consensus 2024, according to attendees


Also, who’s come out swinging in the spot ether ETF fee war — and who could undercut them


I know it is not in their nature, but US regulators could learn a lot by researching the digital asset frameworks that overseas regulators have already gotten right


Also, the ETF hype train can count out at least one member