Immutable Clears SEC Probe Without Enforcement Initiated

The U.S. Securities and Exchange Commission (SEC) has concluded its probe into the Australian crypto-gaming firm, Immutable, and will not pursue any enforcement measures against the company, its IMX Ecosystem Foundation, or its CEO, according to a statement released on March 26.

Immutable disclosed in October that it had received a Wells notice from the SEC, indicating that the agency was contemplating charges for breaching U.S. securities laws. However, with the investigation now closed, Immutable believes the outcome confirms its unwavering dedication to legal and regulatory compliance.

Immutable expressed satisfaction with the SEC's decision and emphasized that it was a positive development for the web3 gaming industry. The company affirmed that it remained steadfast in its mission and continued to create products for gamers throughout the investigation.

Over the past year, Immutable has signed a record number of games, launched Immutable Play, and witnessed over a million new users register for its Passport system. Following the announcement, IMX, the company's native token, has risen by 6% in the past 24 hours.

The SEC's decision reflects a broader shift in its approach to crypto enforcement. The agency has ceased its investigations into several cryptocurrency companies since the beginning of the year, including OpenSea, Uniswap (UNI), Robinhood, and Gemini.

To establish clearer regulatory guidelines for digital assets, the SEC has established a crypto task force under the leadership of Commissioner Hester Peirce. Meanwhile, Ripple is nearing the end of its long-standing legal dispute with the SEC.

On March 20, crypto.news reported that the SEC had agreed to withdraw its appeal against Ripple without conditions. In a further update on March 26, Ripple's legal officer disclosed that the company would not pursue its counter-appeal. Ripple managed to secure a reduced fine, lowering the initial $125 million penalty to $50 million.