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The U.S. Securities and Exchange Commission (SEC) has officially concluded its investigation into Crypto.com without pursuing any enforcement action. This marks a significant milestone for the cryptocurrency exchange, which had previously faced scrutiny from the regulator.

SEC Investigation Ends Without Penalties

On March 27, Crypto.com announced the closure of the investigation in a statement. The company had earlier received a Wells notice from the SEC and subsequently filed a lawsuit against the agency in October 2024, alleging that the regulator had overstepped its authority. However, the lawsuit was dismissed in December, and the investigation has now ended without penalties or settlements.

Nick Lundgren, Chief Legal Officer of Crypto.com, expressed his satisfaction with the outcome:

“We are pleased that the current SEC leadership has made the decision to close its investigation into Crypto.com with no enforcement action or settlement.”

Lundgren also criticized the prior SEC administration, accusing it of abusing its regulatory powers to target the cryptocurrency industry.

CEO Highlights Industry Challenges

Crypto.com CEO Kris Marszalek shared his perspective on the matter in a March 28 post on social media platform X. Marszalek referred to the previous administration’s regulatory stance as a “war on crypto,” emphasizing how it sought to restrict the industry’s access to essential services such as banking, auditors, and investors.

“I continue to be proud of how this industry and its community have weathered storm after storm, with the most prolific being the previous U.S. Administration’s war on crypto.”

Crypto.com’s leadership remains committed to supporting the growth and resilience of the cryptocurrency sector through regulatory compliance and innovation.

Crypto.com’s Regulatory Achievements

Crypto.com stands out as the only major global cryptocurrency exchange that has not faced legal action or settled allegations with the SEC. The company boasts over 100 regulatory approvals worldwide, including state money transmitter licenses in more than 40 U.S. states.

Additionally, Crypto.com has secured registrations with key regulatory bodies such as:

  • The Financial Crimes Enforcement Network (FinCEN)
  • The Commodity Futures Trading Commission (CFTC)
  • The Financial Industry Regulatory Authority (FINRA)

These achievements highlight Crypto.com’s commitment to adhering to regulatory standards while fostering trust and transparency in the cryptocurrency market.

Shifts in SEC’s Regulatory Approach

The decision to close the investigation reflects a broader shift in the SEC’s approach under acting Chair Mark Uyeda. Recent weeks have seen the agency withdraw lawsuits against several major players in the crypto industry, including Coinbase, Uniswap, OpenSea, Robinhood, Gemini, Consensys, and Immutable.

In addition, the SEC has established a Crypto Task Force led by Commissioner Hester Peirce. This task force plans to hold public roundtables on critical regulatory topics to engage with industry stakeholders and foster a more collaborative regulatory environment.

As the cryptocurrency industry continues to evolve, Crypto.com’s leadership and regulatory compliance serve as a model for other exchanges navigating the complex landscape of global financial regulations.

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