**SEC Wraps Up Investigation into Robinhood Crypto**
Great news for Robinhood Crypto (RHC)! The U.S. Securities and Exchange Commission (SEC) has officially wrapped up its investigation into the platform. In a press release shared today, Robinhood announced that the SEC’s Enforcement Division sent a letter to RHC on February 21, 2025, confirming that no enforcement action would be taken. This conclusion follows a Wells Notice issued to Robinhood back in May 2024, which had raised concerns about potential violations of securities laws related to its cryptocurrency operations. The SEC’s investigation aimed to evaluate Robinhood’s compliance with federal securities regulations. Throughout this process, Robinhood has consistently sought clarity from the SEC, although the company’s legal team expressed frustration that their efforts to engage with the regulator seemed overlooked.
**Robinhood’s Legal Chief Speaks Out**
In response to the SEC’s decision, Robinhood’s Chief Legal Officer, Dan Gallagher, acknowledged the outcome while reiterating the company’s belief that the investigation was unwarranted. He emphasized that Robinhood’s crypto operations were in full compliance with federal securities laws and that its trading platform did not facilitate transactions involving securities. RHC pointed out that any potential case against it would not have held up legally. The company also highlighted its proactive approach in avoiding certain products and services that the SEC, under its previous leadership, had classified as securities. Unlike other platforms that faced legal challenges, RHC made thoughtful decisions to align with the regulator’s interpretations.
Following the closure of the case, Robinhood expressed its commitment to collaborating with the SEC under its new leadership to help shape clearer regulations for digital assets.
**SEC Also Closes Case Against Coinbase**
In related news, the SEC recently dropped its enforcement case against Coinbase as well. This decision came after charges were initially filed in 2023 under former Chair Gary Gensler, accusing the prominent U.S. exchange of operating an unregistered securities platform and offering a crypto-staking program without the necessary registration. However, with the change in SEC leadership, the case has now been officially closed. Coinbase’s CEO celebrated the dismissal, noting that it represents a significant milestone for both the company and the wider crypto industry.
