Crypto.com Clears SEC Investigation Without Action, Plans Major ETF Launch

Crypto.com has announced the closure of its investigation by the US Securities and Exchange Commission (SEC) without facing any enforcement action. CEO Kris Marszalek confirmed the decision on March 27 through a post on X, celebrating the firm’s resilience.

”They used every tool available to attempt to stifle us, restricting access to banking, auditors, investors, and beyond. It was a calculated attempt to put an end to the industry,” Marszalek said. “The fact that we not only persevered but became stronger is a testament to our vision and the community supporting it. Onwards!”

The investigation stemmed from a Wells notice issued in August, signaling the SEC’s intent to pursue legal action. However, Crypto.com maintained its stance, eventually filing a lawsuit in October. The company accused the SEC, then chaired by Gary Gensler, of overstepping its authority.

Nick Lundgren, Crypto.com’s chief legal officer, welcomed the resolution. “We are pleased that the current SEC leadership has made the decision to close its investigation into Crypto.com,” he said. He also criticized the prior administration for what he called an abuse of authority to harm the crypto industry.

SEC Shifts Stance Under New Leadership

The decision to drop the investigation reflects a broader shift in the SEC’s approach. Since Mark Uyeda assumed the role of acting chair on January 20, the agency has taken a more cooperative stance toward crypto firms. The establishment of a Crypto Task Force led by SEC Commissioner Hester Peirce signals a willingness to engage the industry.

Several high-profile cases were dismissed in recent weeks, including actions against Coinbase, Consensys, Robinhood, and Uniswap. The SEC also dropped its civil enforcement case against Cumberland DRW on March 27. Additionally, the controversial rule requiring financial firms to record crypto holdings as liabilities was rescinded on January 23.

Meanwhile, Paul Atkins, Trump’s nominee for SEC chair, is awaiting confirmation, potentially furthering the commission’s new direction.

On the business front, Crypto.com recently joined forces with Trump Media to introduce a series of “Made in America”-themed exchange-traded funds (ETFs). Announced on March 24, the collaboration will see Crypto.com providing infrastructure and custody services for the ETFs.

These funds could include prominent tokens like Bitcoin (BTC), Ether (ETH), Solana (SOL), XRP, and Cronos (CRO). The move highlights Crypto.com’s ambitions to solidify its position in the evolving crypto investment landscape.

With regulatory challenges subsiding and new opportunities emerging, Crypto.com is poised to expand its market influence in the coming months.