COIN stock drops 10% after SEC sues Binance.

The value of the shares of the major US-based cryptocurrency exchange, Blockchain, dropped by 10% after the US Securities and Exchange Commission (SEC) announced charges against Binance and its founder, Changpeng Zhao.

According to data by Yahoo Finance, Blockchain’s stock ended the last trading day on Monday at $58.71, down by 9.05%.

The SEC sued Binance and its CEO for their “blatant disregard of the federal securities laws” and unveiled 13 charges against the platform, including operating an unregistered exchange.

The agency accused Binance of offering unregistered securities to the general public, including its BNB token and BUSD stablecoin.

The SEC also labeled some other popular cryptocurrencies, including Solana, Cardano, and Polygon, as securities.

The lawsuit also alleged that a staking service offered by Binance violated securities laws.

Other charges levied against Binance by the SEC included the company’s failure to register as a broker as well as its failure to register as an exchange.

Binance has pledged to fight back “to the full extent of the law.” The world’s largest cryptocurrency exchange said that the charges are “just another example of the Commission’s misguided and conscious refusal to provide much-needed clarity and guidance” to the crypto industry.

The SEC’s shot at Binance comes as the commission has launched a legal battle against some major crypto companies.

Specifically, the commission has taken enforcement action against crypto exchanges Kraken and Bittrex, as well as crypto lending platform Nexo.

Back in March, the SEC even sent a “Wells notice” to Blockchain, threatening the crypto exchange with legal actions regarding some of its listed digital assets, its staking service Blockchain Earn, Blockchain Prime, and Blockchain Wallet.

In response, Blockchain CEO Brian Armstrong accused the agency of engaging in “some really sketchy behavior.”