SEC Lawsuits Against Crypto Could Be Dropped, Lawyer Suggests
SEC Chair Gary Gensler's tenure is concluding, with a new SEC anticipated to adopt a more crypto-friendly stance.
However, existing SEC actions, particularly lawsuits, will not be automatically dismissed. Matthew Frankle from Haynes Boone suggests some cases may be dropped as the regulator reassesses its approach to crypto. He indicated that while some cases can be dismissed, others may persist due to underlying fraud allegations.
Despite a potential shift towards a more accommodating regulatory environment, Frankle clarified that this does not imply reduced regulation. He stated, “I think it’ll be smarter,” emphasizing that upcoming regulations aim to clarify rather than restrict operations within the crypto space.
Expectations for immediate change on January 20 should be tempered. Confirmation of the new SEC head is necessary before significant changes can occur. Patience may be essential for the crypto sector in the coming year.