CFTC lawsuit against Binance threatens crypto market liquidity and compliance.

1 min read
Source: CoinDesk
TL;DR Summary

The recent lawsuit by the US Commodity Futures Trading Commission (CFTC) against Binance for running an alleged "illegal exchange" and a "sham" compliance program could worsen the already poor liquidity in the crypto market, leading to increased price volatility. Observers are worried that market makers may step back from trading on Binance, reducing liquidity in an already thin market. Some expect Bitcoin to revisit the former resistance-turned-support near $25,000 in the wake of the heightened regulatory uncertainty.

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