SEC concludes investigation on Crypto.com exchange, finds no violations

The U.S. Securities and Exchange Commission (SEC) has officially wrapped up its investigation into Crypto.com without taking any enforcement measures.

In a blog post dated March 27, the exchange announced the news, noting that it had earlier received a Wells notice from the SEC before filing a lawsuit against the agency in October 2024. The lawsuit, which contended that the SEC had exceeded its authority, was later dismissed in December. The investigation has now been concluded without any penalties being imposed.

Nick Lundgren, Chief Legal Officer of Crypto.com, welcomed the decision, saying:

"We are gratified that the current SEC leadership has decided to close its investigation into Crypto.com without taking any enforcement action or reaching a settlement,"

He criticized the previous SEC leadership for misusing its authority to target the cryptocurrency industry.

Kris Marszalek, CEO of Crypto.com, also shared his thoughts in a March 28 post on X, describing the previous administration's regulatory approach as a "war on crypto." According to Marszalek, the previous administration attempted to suppress the industry by limiting access to crucial services such as banking, auditors, and investors.

"I remain proud of how this industry and its community have withstood one storm after another, with the most significant being the previous U.S. Administration's war on crypto,"

Crypto.com is the only major global cryptocurrency exchange that has neither been sued by the SEC nor settled any allegations with the regulator. The company holds more than 100 regulatory approvals globally, including state money transmitter licenses in over 40 U.S. states.

It has also obtained registrations with key U.S. agencies such as the Financial Crimes Enforcement Network, the Commodity Futures Trading Commission, and the Financial Industry Regulatory Authority.

The decision to close the investigation is consistent with the recent shift in the SEC's regulatory approach under acting Chair Mark Uyeda. In recent weeks, the agency has withdrawn its lawsuits against OpenSea, Uniswap (UNI), Coinbase, Consensys, Robinhood, Gemini, and Immutable (IMX).

The agency has also established a Crypto Task Force led by Commissioner Hester Peirce, which recently announced plans to hold public roundtables on key industry regulatory topics in the coming months.