Recent legal developments have highlighted the challenges and implications for cryptocurrency exchanges in relation to US securities laws. The SEC's small legal victory in the colossal case against Coinbase is seen as significant, despite some lawyers' skepticism. An appellate court decision in Williams v. Binance has underscored the extraterritorial reach of US securities laws, particularly affecting web3 companies attempting to circumvent US regulations due to legal ambiguities, marking it as important for web3 companies. The Second Circuit's decision further clarifies that non-US entities are subject to US securities laws if they do not exclude US users. This ruling may impact other SEC cases against crypto exchanges like Binance/Binance.US and Kraken. Last year, the SEC's efforts to halt Binance.US operations through a Temporary Restraining Order resulted in significant layoffs, revenue implosion, and trust issues for the company, as revealed in a court deposition. Additionally, the brightest legal minds of Bloomberg and crypto Twitter were also turbo bearish on the ripple case.