Just last week, the US Securities and Exchange Commission (SEC) made the decision to end its enforcement action against Coinbase. The move was a key part of its continued shift, as it ends its combative stance opposing the cryptocurrency industry. That has continued this week, as the SEC has reportedly ended its investigation into Robinhood.
According to a press release from the platform, the agency’s enforcement division has ceased its probe and “will not pursue enforcement action.” Indeed, the update follows the issuance of a Wells Notice from the agency in May 2024 that Robinhood chief legal officer Dan Gallagher says “never should have been opened.”
JUST IN: 🇺🇸 SEC ends investigation into Robinhood.
— Watcher.Guru (@WatcherGuru) February 24, 2025
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SEC Closes Robinhood Investigation As Crypto Policy Overhaul Continues
Just one month ago, the SEC announced the launch of its new crypto task force. Indeed, it was set to lead the charge for clear regulation in the country. That would look to drive industry growth in the United States and overhaul how it policed the asset class. Moreover, it was a clear deviation from the Biden administration. Its Gary Gensler-led agency sought a conflicting ‘regulation through enforcement’ approach that helped no one.
That pursuit has led to continued changes in the landscape of legal conflicts within the industry. Moreover, the latest change took place in the final week of February. Specifically, the SEC has announced it is ending its investigation into Robinhood. Additionally, it will not seek any enforcement action as a result of its probe.
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“We applaud the staff’s decision to close this investigation with no action,” Robinhood’s Dan Gallagher said. “Robinhood Crypto always has and will always respect federal securities laws and never allowed transactions in securities. As we explained to the SEC, any case against Robinhood Crypto would have failed.”
That isn’t the end of the two sides’ engagement, however, in a more collaborative way. The platform said they “look forward to working with the SEC under this new administration to establish a clear path forward” for cryptocurrency regulation in the United States.
