Reuters Binance and its CEO Changpeng Zhao have filed a motion to dismiss a complaint against the cryptocurrency exchange by the U.S. Commodity Futures Trading Commission CFTC, the company said in a court filing on Thursday.

The CFTC sued Binance, Zhao and former Chief Compliance Officer Samuel Lim in March, alleging they violated the Commodity Exchange Act and certain related federal regulations, and for operating what the regulator said was an illegal exchange and a sham compliance program.

Binance, the world39;s largest cryptocurrency exchange, said the CFTC39;s case should be dismissed because it sought to regulate foreign individuals and corporations that reside and operate outside the United States.

It also quoted a 2007 ruling that stated United States law governs domestically but does not rule the world.

The holding company of Binance is based in the Cayman Islands, while CEO Zhao is a Canadian citizen.

The CFTC39;s complaint said that from at least July 2019, Binance offered and executed commodity derivatives transactions on behalf of U.S. persons in violation of U.S. laws.

In its reply, Binance said that by June 2019, Binance.com had begun implementing steps to restrict and offboard potential U.S. users and ensure that new users were not U.S. persons.

Importantly, Binance.com did not begin to offer the alleged digital asset derivative products until July 2019 and later after it began to restrict and offboard potential U.S. users, the company said.

Lim…