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Mar 4, 2025
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SEC Drops Enforcement Case Against Cumberland DRW Following New Leadership

1 min

The U.S. Securities and Exchange Commission (SEC) has decided to drop its enforcement case against Cumberland DRW, the crypto trading arm of DRW, as announced by the company.

  • The SEC previously sued Cumberland DRW in October 2023, accusing it of operating as an unregistered securities dealer and selling over $2 billion in unregistered securities, including tokens like Polygon, Solana, Cosmos, Algorand, and Filecoin.
  • Cumberland DRW's CEO, Don Wilson, stated the firm attempted to register as a securities dealer but faced regulatory ambiguity under former Chair Gary Gensler.
  • Under Acting Chair Mark Uyeda, the SEC has reversed its stance and dropped multiple lawsuits, including those against Coinbase, ConsenSys, and Kraken.
  • The agreement with Cumberland is pending approval from the current SEC commissioners.
  • Cumberland expressed commitment to working with the SEC for regulatory clarity and innovation in the financial sector.