The Crypto Fear and Greed Index has dropped to a level of "fear" not seen since March 11th, following the SEC's lawsuit against Binance and its affiliates for operating illegally in the US. The index measures market sentiment towards Bitcoin and the wider crypto market by combining various indicators such as price volatility, momentum, trading volume, and social media and Google trends.

Binance will open trading for the LTC/TRY and RAD/TRY trading pairs at 2023-06-07 08:00 (UTC).

The Horizen (ZEN) network upgrade and hard fork will take place at the Horizen block height of 1,363,115, or approximately at 2023-06-07 13:00 (UTC). Deposits and withdrawals of ZEN will be suspended approximately starting from 2023-06-07 12:00 (UTC).

Despite recent regulatory actions from the SEC, there has not been a significant exodus of funds from Binance, the world's largest crypto exchange.

The US Securities and Exchange Commission (SEC) has added 10 cryptocurrencies to its list of 61 labeled as securities, following its lawsuit against Binance. The SEC has been litigating the crypto space for years and has outlined which cryptocurrencies it deems securities. Notable cryptocurrencies on the SEC's list include Ripple's XRP, LBRY Credits, and Algorand. SEC Chair Gary Gensler has claimed that "everything other than Bitcoin" falls under the agency's remit, covering over $100 billion worth of the market.

Jeff Dorman, the Chief Investment Officer of Arca, stated in an interview with Bloomberg that the real harm caused by this event was to Coinbase, Kraken, and other US trading platforms, which must decide whether to delist the affected tokens. US market makers have also been affected and may have to stop making markets for certain tokens classified as securities. It is expected that the lawsuit will not have a long-term impact on token prices, as they are still traded on offshore platforms.

Key aspects of CZ and related companies alleged by the SEC to have violated the U.S. Securities Act and Exchange Act include: 1) issuing and selling unregistered securities; 2) influencing trading in unregistered securities on the Coin platform; 3) combining core securities market functions and knowingly evading registration; and 4) clearly violating conflict of interest principles.

According to data from CoinGlass, cryptocurrency traders lost around $320 million in liquidations over the past 24 hours as crypto prices dropped following the SEC's lawsuit against Binance for allegedly violating securities laws. The largest level of long liquidations in at least three months occurred, with $289 million of long positions wiped out during the day. Tokens cited in the lawsuit as unregistered securities, including Binance's BNB, solana (SOL), and cardano (ADA), led the decline, with almost 119,000 crypto traders liquidated in 24 hours. The sudden drop in prices caught most investors off-guard, with BTC traders booking most of the losses.

Binance's BNB cryptocurrency experienced a nearly 10% drop following the SEC's lawsuit alleging illegal operations in the US, marking the largest one-day drop this year. The SEC claims that Binance and its founder misused customer funds and conducted manipulative trading to inflate trading volume. Other cryptocurrencies, including Bitcoin, Ethereum, and Dogecoin, also saw a decrease in value on Monday. Forbes reported that Binance engaged in backroom asset shuffling and moved $1.8 billion to hedge funds without informing customers that the tokens were not fully backed, similar to actions taken by bankrupt crypto company FTX. Other crypto firms, such as FTX and Coinbase, are also facing allegations from US authorities.

Binance's move to remove privacy coins like Monero and Zcash in certain countries highlights the caution and confusion around compliance among some companies. However, listing privacy coins on exchanges can help attract new users, increase liquidity, and boost prices. Despite recent EU regulations requiring the collection of user data and identification information, privacy coin users and exchanges can still comply. Binance's decision may be more related to its legal dispute with the Commodity Futures Trading Commission than regulatory demands. The crypto industry should establish a regulatory environment that balances privacy protection with deterring and punishing illegal activities.