SEC Under Trump Shifts Approach, Ends or Settles Major Crypto Lawsuits and Investigations
During the Trump administration, the U.S. Securities and Exchange Commission (SEC) shifted its approach from enforcement-heavy actions to more negotiated resolutions with cryptocurrency firms.
A notable resolution was the Ripple-SEC lawsuit, a four-year legal battle that was resolved with both sides dropping cross-appeals and pursuing a negotiated outcome, finalized in August 2025.
The SEC also filed to dismiss its ongoing case against Binance on May 29, 2025. Binance's CEO, Changpeng Zhao, was pardoned by Trump in October.
In another significant development, on February 17, 2025, the SEC voluntarily dropped an appeal related to extending securities laws to decentralized finance (DeFi). This effectively meant DeFi protocols were not required to register as securities exchanges.
Lawsuits against Coinbase alleging operation as an unregistered securities exchange were dropped by the SEC in February 2025, with the dismissal citing regulatory reform efforts.
Investigations into NFT marketplace OpenSea concluded in February 2025 with no charges filed; the SEC had previously issued a Wells notice in August 2024.
Similarly, the SEC’s investigation into Uniswap Labs ended in February 2025 without charges. A Wells notice had been issued in April 2024, and Uniswap's CEO criticized the SEC’s enforcement strategy.
On April 1, 2025, the SEC and Gemini Trust mutually agreed to a 60-day stay on the $900 million lending suit. After a two-year investigation, the case ended with no enforcement action, with Gemini’s Winklevoss brothers citing damages to their firm.
The SEC dropped its latest suit against Kraken between March 3 and 27, 2025. An earlier February 2023 settlement involved a $30 million fine, but the subsequent November 2023 suit was dropped without any admission of wrongdoing.
These developments, spanning various major crypto firms, mark a trend toward resolution and regulatory reform rather than prolonged litigation under the SEC during the Trump era.
