Williams v. Binance

Court: US Court of Appeals for the Second Circuit

Docket: 22-972

Opinion Date: March 8, 2024

Judge: NATHAN

Areas of Law: Business Law, Communications Law, Internet Law, Securities Law

The case involves a group of plaintiffs who used the online cryptocurrency exchange, Binance, to purchase crypto-assets known as "tokens". They allege Binance violated the Securities Act of 1933 and the "Blue Sky" securities laws of various states by selling these tokens without registration. They also sought to rescind contracts they entered into with Binance under the Securities and Exchange Act of 1934, alleging Binance contracted to sell securities without being registered as a securities exchange or broker-dealer.

The United States District Court for the Southern District of New York dismissed the plaintiffs' claims as impermissible extraterritorial applications of these statutes and also dismissed their federal claims as untimely. However, the United States Court of Appeals for the Second Circuit reversed this decision. The appellate court found that the plaintiffs had adequately alleged that their transactions on Binance were domestic transactions, thereby making the application of federal and state securities laws permissible. The court also concluded that the plaintiffs' federal claims did not accrue until after they made the relevant purchases, and therefore their claims arising from purchases made during the year before filing suit were timely.

This case is significant as it addresses the application of federal and state securities laws to transactions involving cryptocurrencies, and the extraterritorial reach of these laws in the context of online cryptocurrency exchanges.

State of Iowa v. Miller

Court: Iowa Supreme Court

Docket: 22-0903

Opinion Date: March 8, 2024

Judge: McDonald

Areas of Law: Communications Law, Criminal Law, Internet Law

A case was brought before the Supreme Court of Iowa involving Kadin Miller, who was convicted of harassment after he posted a video of himself and his ex-girlfriend engaged in consensual sexual intercourse on a pornography website without her consent. This act was done to "annoy" and "get back at" his ex-girlfriend after their relationship ended on bad terms. As a result of his conviction, Miller was sentenced to two years in prison and was required to register as a sex offender. The main issue in the appeal was whether the State proved beyond a reasonable doubt that Miller was required to register as a sex offender pursuant to Iowa Code chapter 692A.

Under Iowa law, individuals convicted of any sex offense are required to register as a sex offender if they reside, are employed, or attend school in the state. The law sets forth a comprehensive list of sex offenses that require an offender to register as a sex offender. However, the crime Miller was convicted of, harassment in the first degree, is not a per se sex offense. For non-per se sex offenses, an offender is required to register only if the state proves “beyond a reasonable doubt” to “a judge or jury” that the offense was “sexually motivated.”

In this case, the Supreme Court of Iowa concluded that the State did not prove beyond a reasonable doubt that Miller's crime was sexually motivated. The court found that the district court's reasoning did not focus on the relevant statutory inquiry—whether the crime was sexually motivated—and instead focused on whether Miller had a sexual interest in the video. The court also noted that there was no evidence to support the district court's finding that Miller's commission of the crime of harassment was done for the purpose of his own sexual gratification. As such, the Supreme Court of Iowa reversed the district court's finding that Miller's crime was sexually motivated, and therefore, Miller was not required to register as a sex offender.