Robinhood says the SEC has ended the regulator’s probe into Robinhood Crypto.
SEC issued a Wells Discover to Robinhood Crypto in Might 2024.
SEC’s closing of the Robinhood Crypto investigation comes days after the company closed an analogous probe in opposition to Opensea.
The US Securities and Alternate Fee has dropped its investigation into Robinhood’s digital property arm.
Robinhood introduced through weblog put up on Monday, Feb. 24 that the SEC has closed its enforcement motion probe in opposition to the corporate.
“We applaud the employees’s resolution to shut this investigation with no motion,” stated Dan Gallagher, chief authorized officer of Robinhood Markets.
The SEC’s resolution to finish its investigation into Robinhood comes simply days after one other platform, Opensea, stated the regulator was ending its probe.
Each Robinhood and Opensea acquired ‘Wells Notices’ from the SEC in 2024.
Final week, crypto change Coinbase additionally introduced the regulator had agreed to dismiss the lawsuit it had filed in opposition to the US-based firm in 2023.
SEC closes Robinhood probe
Within the weblog put up on Monday, Robinhood stated it acquired communication from the SEC’s Enforcement Division on Friday, Feb. 21.
The letter detailed the company’s resolution to finish the investigation into Robinhood Crypto, with no additional motion. SEC’s Wells Discover alleged potential securities legal guidelines violations by the buying and selling platform.
Nevertheless, Robinhood maintained it had not violated any securities legal guidelines and didn’t supply securities to customers.
“This investigation by no means ought to have been opened,” Gallagher added. “Robinhood Crypto all the time has and can all the time respect federal securities legal guidelines and by no means allowed transactions in securities. As we defined to the SEC, any case in opposition to Robinhood Crypto would have failed. We admire the formal closing of this investigation, and we’re comfortable to see a return to the rule of legislation and dedication to equity on the SEC.”
The SEChas taken a extra pro-crypto innovation stance for the reason that exit of former chair Gary Gensler. President Donald Trump’s appointment of pro-crypto people into positions on the company has helped this shift, together with the institution of a crypto job drive by performing chair Mark Uyeda.
