Federal Judge Amy Berman Jackson has made a pivotal ruling in the legal battle between the United States Securities and Exchange Commission (SEC) and the prominent cryptocurrency platform, Binance. Initially, a portion of the SEC's lawsuit against Binance and its founder, Changpeng Zhao, was dismissed, but subsequent charges have been granted permission to proceed. The judge has scheduled a hearing for July 9, 2024, signifying the ongoing legal developments.

In a notable intervention, the judge referenced a prior ruling in the contentious Ripple vs. SEC case to quash the SEC's assertion of illegal trading of Binance's BNB on secondary markets. Additionally, the judge dismissed charges pertaining to Binance's transactions involving the BUSD stablecoin and the SEC's concerns regarding the 'Simple Earn' passive income feature.

Binance has actively pursued the dismissal of the SEC's fraud lawsuit since the commencement of this year. Nonetheless, Judge Jackson's decision retained a majority of the accusations against Binance. Notably, claims related to Binance's staking system, the post-initial coin offering sale of BNB, and anti-fraud measures will continue to be litigated.

Moreover, the court upheld charges against Zhao, specifically as a 'control person,' and mandated Binance's compliance with registration requirements under the Exchange Act, as indicated in a court filing from June 28. It is noteworthy that Zhao relinquished his CEO position at the exchange in the previous year and is presently serving a 4-month prison sentence.

This judicial verdict has taken finance lawyer Scott Johnsson by surprise, characterizing it as a substantial setback for the regulatory body. The implications of this ruling are anticipated to establish a significant precedent for industry players like Coinbase, Kraken, and Consensys, who could leverage this judgment in their individual legal battles.

Eleanor Terrett, a reporter from Fox Business, suggests that these entities may use this ruling to fortify their stance in ongoing litigations. Notably, ConsenSys has been involved in a probe concerning Ethereum's security status by the Commission, which has been withdrawn. Nevertheless, ConsenSys advocates for a well-defined regulatory framework in the cryptocurrency sector, emphasizing the evolving regulatory landscape.