A United Kingdom high court recently ruled to set aside an interim proprietary injunction against the cryptocurrency exchange Binance. The interim injunction, which required Binance to preserve a certain amount of cryptocurrency, was issued after a victim of cryptocurrency fraud claimed to have traced the stolen funds to the crypto exchange.

According to a recent post on the law firm Herbert Smith Freehills’ blog, the discharge of an injunction against Binance is one of the first known cases where a cryptocurrency exchange has challenged granting a proprietary injunction. The proprietary injunction, which was granted on October 18, 2022, was issued in respect of 470,904 USDT stablecoins that were traced to Binance user accounts.

In its application challenging the injunction, Binance said the action had been taken without notice. Binance also said it could not comply with the injunction since it was granted after the fraudulently acquired crypto assets in question were moved.