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Cointelegraph writes, The keyword Binance lawsuit heats up with lawsuit filed. That was May 16, 2015, and they asked the U.S. District Court for the Southern District of New York to order arbitration on all parties.
Under its Terms of Use at the time in February 2019, Binance said its users forfeited their right to sue and agreed to have disputes settled through arbitration, and they were not entitled to bring class-action claims.
While Judge Andrew Carter previously declined to order arbitration of transactions predating 2019, post-2019 claims are not yet subject to an enforceable arbitration clause.
BNB Price Snapshot BNB’s Current Price
As of May 20, 2025, the current price of the Binance Coin (BNB) is $651.04, which makes it one of the best-performing digital assets in the crypto market. The momentum behind the price hasn’t let up despite legal trouble.
According to recent forecasts, BNB isn’t likely to fall below an average of $676.31 through 2025, and more bullish projections put the upper end of the spectrum at $1,292. The following table contains the summary of the projected BNB prices.
| Month | Minimum Price | Average Price | Maximum Price |
| June 2025 | $445.55 | $497.18 | $547.46 |
| August 2025 | $490.80 | $535.60 | $578.45 |
| October 2025 | $525.34 | $565.00 | $610.12 |
| December 2025 | $550.01 | $574.27 | $598.52 |
Historical Legal Context
The dispute dates to March 2022, when Judge Carter dismissed the case the first time, finding in favor of Binance’s contention that U.S. securities laws did not apply to the U.S.-based platform because it doesn’t have a physical footprint in the U.S.
But in March 2024, the U.S. Court of Appeals for the Second Circuit reversed course and said that the lawsuit should move forward. The Supreme Court subsequently refused to hear Binance’s appeal in January 2025.
This escalation comes after Binance agreed to a $5.3 billion settlement with the US Securities and Exchange Commission in November 2023 over charges it sold unregistered securities. Further legal investigation has developed, with Canadian officials also commencing a class action lawsuit in April 2024.
Social Media Reaction from the Community
After a significant interval had passed with Binance’s numerous (and generally meaningless) stalling tactics and legal scapegoats losing their gunpowder on platforms such as Reddit and X (aka Twitter), user mood has become thoroughly glum about Binance’s legal jockeying and fund restrictions.
A Post on Reddit with more than 1,200 upvotes reads:
“Did anyone take part in the Binance US class action on held funds? The money is trapped for more than a month.”
On X, local hashtags such as BinanceLawsuit and CryptoJustice have trended, reflecting the public will for openness and fair user safeguarding.
Why This Case Matters
The result of Binance’s arbitration push could be precedent-setting for the way crypto platforms enforce service agreements in court. Arbitration clauses are widely used in centralized exchanges, though legally controversial, especially when cross-jurisdictional arbitration is considered.
Perhaps Canada’s courts will follow the example of the Ontario Court of Appeal, which recently found Binance Holdings Limited’s arbitration clause unenforceable as “unconscionable” and “contrary to public policy” in Lochan v. Binance Holdings Limited. Global rulings like those can have an impact on American courts, particularly in cross-border cases.
Transparency and Evidence on Blockchains
They did not disclose any material blockchain discrepancies or on-chain irregularities, although transparency reports demonstrate Binance is setting aside more for potential legal liabilities and has been spending more on compliance since 2024.
As per Binance‘s latest Proof-of-Reserves (May 2025), more than 97% of BNB in user accounts is recorded on-chain.
Conclusion
Binance’s bid to compel arbitration for all claimants in securities lawsuits underscores a broader trend in the industry encouraging legal risk to be mitigated via terms of service. The ultimate decision could shift the balance between user protection and corporate safeguards on centralized crypto exchanges.
The ruling is still pending and is being closely watched by interested parties across the legal, financial, and cryptocurrency industries.
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FAQs
1. Why does Binance want arbitration in the case?
Binance users agreed to arbitration as part of its 2019 Terms of Use, the exchange said in court documents, waiving the right to bring class action lawsuits in U.S. court systems.
2. And what does the court say about Binance’s arbitration clause?
The court already blocked arbitration for users who joined before 2019, and now it is considering whether post-2019 claims fall under the enforceable clause.
3. How might this lawsuit impact the price of BNB?
The legal fight can be expected to weigh on investors’ sentiment in the days ahead and might also have short-term effects on the prices of BNB if the court rules for or against the cryptocurrency.
4. What are the potential risks for Binance clients in this situation?
If the arbitration clause holds, users will likely lose collective bargaining power when making claims against Binance.
Glossary of Key Terms
Arbitration
A confidential legal procedure in which a dispute is presented to an independent third person for resolution outside of court. In crypto, many of these companies force users to resolve disputes via arbitration instead of lawsuits.
Class Action Lawsuit
A lawsuit brought by one or more plaintiffs on behalf of a large group of others who have similar claims. In the crypto world, it’s deployed when there are hundreds of users who say a single actor has harmed them.
Terms of Use
A platform-generated, legally binding agreement stating user rights, restrictions, and dispute resolutions. Among Binance’s rules: arbitration and a class action waiver.
Securities
Liquid assets such as stocks or tokens. In the world of crypto, if something is labeled a security, it falls under intense regulatory rules in the United States.
U.S. District Court
A trial court of the government of the United States. It deals with high-stakes civil and criminal matters, like cases around crypto regulation and securities fraud.
BNB (Binance Coin)
Binance’s Ecosystem Coin The native coin for the Binance ecosystem. Leveraged to trade-fee discounts as well as DeFi applications, its price regularly reacts to Binance’s legal and operational news.
Appeal
An appeal to a higher court to review a lower court decision. Binance lodged appeals to contest previous court decisions on its legal liabilities.
Enforceability
The power of the law to enforce a term or contract. Here, whether Binance’s arbitration clause can be enforced to evade courtroom trials.
