Nikolas Sargeant
The US Securities and Exchange Commission (SEC) has officially closed its investigation into Crypto.com, concluding the regulatory probe without implementing any enforcement actions. CEO Kris Marszalek confirmed the development, sharing the news on social media platform X.
"The fact that we not only persevered but became stronger is a testament to our vision and the community supporting it. Onwards!" Marszalek proclaimed, highlighting the company's resilience through the investigative process.
Background of the Investigation
The probe originated from a Wells Notice issued in October 2024, which initially suggested potential enforcement actions related to the exchange's token sales. In response, Crypto.com strategically filed a lawsuit challenging the SEC's regulatory overreach, arguing against the agency's broad classification of cryptocurrency transactions as securities.
Leadership Perspective on Regulatory Dynamics
Nick Lundgren, Crypto.com's Chief Legal Officer, expressed optimism about the current regulatory environment. "Under the previous administration, the SEC weaponized and attempted to expand its congressionally granted power," Lundgren stated. He characterized the investigation as an "unfortunate" period that necessitated legal action to protect fundamental legal principles.
Broader Regulatory Landscape Shifts
The Crypto.com investigation closure aligns with a broader trend of the SEC withdrawing numerous crypto enforcement actions. Acting SEC Chairman Mark T. Uyeda has indicated the agency's commitment to developing more transparent crypto policies.
Recent months have seen similar investigative dismissals involving major platforms like Coinbase, Gemini, Robinhood, OpenSea, and UniSwap, signaling a potential recalibration of regulatory approaches toward cryptocurrency exchanges.
Lundgren emphasized the company's ongoing commitment, noting, "Compliance and integrity are core to Crypto.com's business," and expressing enthusiasm for collaborative legislative efforts with incoming leadership.
