US SEC’s Shocking Crypto Decision: What You Won’t Believe Happened Next!

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  • SEC has graciously chosen to abandon its legal skirmish with the crypto exchange Kraken
  • The exchange shall pay no penalties, thus escaping the clutches of financial retribution

In a most unexpected turn of events, the esteemed United States Securities and Exchanges Commission (SEC) has decided to extend a hand of friendship towards the world of cryptocurrency. Indeed, the commission has resolved to drop its lawsuit against the illustrious crypto exchange known as Kraken. In a rather jubilant blog post entitled “A win for fairness,” Kraken proclaimed,

“Today marks a pivotal moment for Kraken. The SEC staff has agreed in principle to dismiss its lawsuit against Kraken with prejudice, with no admission of wrongdoing, no penalties paid and no changes to our business.”

Accused of providing crypto services without complying with rules

Filed in the month of November in the year 2023, the commission had accused Kraken of breaching the sacred securities law. The American exchange was alleged to have operated as a securities exchange, broker-dealer, and clearing agency without adhering to the legal requirements, at least until the rather distant September of 2018.

Moreover, the commission claimed that the exchange had mingled a rather scandalous sum of $33 million of customer assets and had failed to meet its record-keeping requirements, not to mention the safeguards against conflicts of interest. In a rather optimistic tone regarding the SEC’s newfound affection for crypto, Kraken remarked,

“The SEC’s decision to dismiss its lawsuit against us (and many others) is more than just a legal victory — it’s a turning point for the future of crypto in the U.S. It ends a wasteful, politically motivated campaign, lifts uncertainty that stifled innovation and investment, and clears the path toward a stable, forward-thinking regulatory regime.”

Presidential change brings hope for a crypto-friendly approach

It is worth noting that this is not the first time the regulator has chosen to abandon its legal pursuits in the realm of cryptocurrency. In the past week alone, the SEC has graciously forgone its legal battles against notable crypto entities such as Coinbase, Gemini, and Consensys. A collective sigh of relief was heard when the commission declared that memecoins were not, in fact, securities. Who knew? 😂

Read more$70 million in 24 hours: Can Ethereum crack $4,000 thanks to whales?

This delightful shift appears to align with a broader transformation in the approach towards the crypto-markets, with the current President taking the lead. Just yesterday, President Donald Trump announced the establishment of a US Crypto Reserve, which resulted in a veritable influx of millions into the crypto markets. How very generous of him!

The announcement also provided a substantial boost to leading altcoins such as Cardano (ADA), Solana (SOL), and XRP, which experienced a remarkable rise in value by double digits within mere moments. On the crypto-friendly changes emanating from the White House, Kraken expressed its gratitude, stating,

“We appreciate the new leadership both at the White House and the Commission that led to this change. Their bold and thoughtful leadership will lead to a new era of U.S. crypto innovation.”

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2025-03-03 19:28