Recent SEC actions have led to the closure of investigations into crypto companies such as Robinhood and Open Sea, without any enforcement actions.
Investigation into Robinhood
According to Bloomberg, the US SEC has concluded its investigation into Robinhood's crypto operations with no enforcement actions. Previously, the company had received a Wells notice, indicating potential charges. Robinhood's Chief Legal Officer Dan Gallagher stated that the investigation should never have been initiated. The company maintains that most crypto transactions are not subject to federal securities law and calls for clear regulatory guidelines for the crypto market.
Open Sea Investigation Closed
On February 22, Open Sea's co-founder announced that the investigation into the NFT marketplace has been closed. This is seen as a victory, confirming that attempts to classify NFTs as securities would misunderstand the law and hinder innovation. Creators are encouraged to continue building their projects freely.
Further SEC Developments
Last week, it was also announced that the case against Coinbase has been concluded, highlighting a trend of SEC closing cases without enforcement actions.
SEC’s movement towards closing cases without enforcement actions suggests a need for clear regulatory frameworks for engaging with the crypto market, which is crucial for the industry’s further development.
