March 4, 2025
Big Victory For Kraken
The SEC filed charges against Kraken in November 2023 for mishandling customer funds and operating as an unregistered securities broker. Kraken chose to fight the lawsuit, and a federal judge initially supported the SEC’s case.
Source: Kraken’s Official Blog
However, the SEC will now drop the charges after reaching an agreement with Kraken, pending approval from the SEC Commissioners. “This dismissal removes uncertainty and confirms that businesses like Kraken, which prioritize compliance, shouldn’t face arbitrary legal battles,” the company stated.
A Turning Point
Kraken hailed the SEC’s decision as a key moment for U.S. crypto regulation, ending what they called a politically motivated campaign and lifting the uncertainty stifling industry growth and innovation.
Previously, the regulatory agency had investigated companies like OpenSea, Gemini, and Robinhood and continues to probe others, including Ripple.
