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Ex-SEC Lawyers Agree: Crypto Enforcement Shackles May Take Time to Resolve

Author: Content Editor
The Securities and Exchange Commission (SEC) may face challenges as it tries to resolve ongoing legal cases in the crypto industry, even with a new industry-friendly commission. Lawyers suggest that dropping existing cases would require a commission vote, which may not be possible until Republicans regain an SEC majority. While President-elect Donald Trump's win had initially raised expectations that the crypto industry's legal battles would disappear, lawyers and former SEC officials say moving away from the enforcement legacy of SEC Chair Gary Gensler is not straightforward. The SEC will need to address key questions about the classification of crypto tokens as securities and whether they retain that label when traded on secondary markets like Coinbase. Lawyers anticipate that the new Republican leadership at the SEC may look more favorably on major crypto cases, leading to potential structured settlements instead of abrupt case dismissals.

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