A protective order has been granted by a US court in the legal battle between the US Securities and Exchange Commission (SEC) and Binance entities, including CEO Changpeng Zhao. This order seeks to maintain the confidentiality of information and materials related to the lawsuit.
Under the terms of the order, parties involved in the proceedings are given the ability to designate certain discovery material as confidential. This includes nonpublic trade secrets, proprietary financial information, details about the ownership or control of non-public companies, and non-public customer information.
Binance.US requested a protective order against the SEC in August 2023, claiming the regulator’s demands were overly broad and unreasonable. Binance argued that the SEC was attempting to gain access to all documents pertaining to customer assets. This would have exposed the company’s proprietary information.
The protective order has been established to ensure a fair and controlled exchange of information, while also protecting sensitive materials. The order will prevent the SEC from overreaching in its investigation and safeguard the interests of those under scrutiny.