In 2025, the U.S. Securities and Exchange Commission (SEC), under President Donald Trump’s administration, has dramatically altered the cryptocurrency landscape by dismissing high-profile lawsuits against major industry players like Coinbase, Ripple, and Binance. This pivot, driven by new SEC Chair Paul Atkins and a crypto-friendly task force led by Commissioner Hester Peirce, marks a departure from the aggressive “regulation by enforcement” approach of the Gary Gensler era. With over $2.2 billion lost to crypto hacks in the first half of 2025, these dismissals signal a new era of regulatory clarity, boosting market confidence and driving Bitcoin to $118,873 and XRP to $2.30 by August 15, 2025. This article explores the biggest SEC case dismissals, their implications, and the future of crypto regulation.
Ripple vs. SEC: A Landmark Resolution
The SEC’s longest-running crypto battle, initiated in December 2020 against Ripple Labs, concluded on August 7, 2025, when both parties dropped their appeals, ending a five-year saga. The SEC had accused Ripple of raising $1.3 billion through unregistered XRP securities sales. A 2023 ruling by Judge Analisa Torres found that XRP sales on public exchanges were not securities, though institutional sales violated securities laws, resulting in a $125 million fine. Despite a failed settlement attempt in May 2025, the joint dismissal, approved by the Second Circuit Appeals Court, lifted a major regulatory overhang, sending XRP up 13% in a single day. This resolution sets a precedent for token classification, bolstering confidence in altcoins.
Coinbase’s Victory: A Win for Exchanges
On February 27, 2025, the SEC announced the dismissal of its 2023 lawsuit against Coinbase, the largest U.S. crypto exchange, which had been accused of operating as an unregistered broker and trading unregistered securities. The case, a focal point for the industry, was dropped without penalties or admissions of wrongdoing, following a joint stipulation with Coinbase. CEO Brian Armstrong hailed the decision as a “complete vindication,” noting that the SEC’s prior approval of Coinbase’s 2021 IPO contradicted its later claims. This dismissal, celebrated across X, alleviates pressure on other exchanges and validates their business models, potentially paving the way for broader institutional adoption.
Binance’s Legal Relief: A Global Impact
On May 29, 2025, the SEC dismissed its high-profile case against Binance, the world’s largest crypto exchange, and its founder, Changpeng “CZ” Zhao, with prejudice, preventing refiling. Filed in June 2023, the lawsuit alleged securities violations, artificial trading volume inflation, and customer fund mismanagement. A 60-day pause in February 2025, facilitated by the SEC’s Crypto Task Force, led to this resolution. Binance’s X post called it a “huge win for crypto,” crediting Chairman Atkins and Trump’s administration. The dismissal, alongside Binance’s new USD1 stablecoin listing tied to Trump-affiliated World Liberty Financial, underscores the exchange’s growing U.S. influence, boosting BNB’s market sentiment.
Other Notable Dismissals: A Broader Retreat
The SEC’s regulatory rollback extended to multiple firms in 2025, including Kraken, Uniswap, OpenSea, Consensys, Gemini, Yuga Labs, and Immutable. Kraken’s case, dismissed on March 27, 2025, ended allegations of unregistered securities offerings, with no penalties. Uniswap’s investigation, closed on February 25, 2025, validated DeFi platforms, while OpenSea’s dismissal on February 22 avoided classifying NFTs as securities. Consensys, Gemini, and Yuga Labs also saw investigations dropped, signaling a shift away from broad securities classifications. These actions, driven by the Crypto Task Force, reflect a move toward industry engagement over litigation, with 12+ cases paused or dismissed by May 2025.
Why the Shift? Political and Industry Influence?
The SEC’s pivot stems from Trump’s pro-crypto policies, including an executive order banning central bank digital currencies and establishing the Crypto Task Force in January 2025. Political donations played a role, with Coinbase, Ripple, and others contributing over $119 million to pro-crypto candidates via Fairshake in 2024, including $1 million from Coinbase’s CEO Brian Armstrong to Trump’s inauguration. Paul Atkins’ appointment as SEC Chair, replacing Gensler, and Hester Peirce’s leadership have prioritized “clear rules” over enforcement. However, critics like SEC Commissioner Caroline Crenshaw warn that reduced oversight risks investor protection, citing $500 million in meme coin rug pull losses in 2024.
Market Impact and Investor Sentiment
The dismissal of these cases has fueled a crypto market rally, with Bitcoin holding above $118,000 and XRP surging 12% post-Ripple settlement. Posts on X, like those from @Crypto_Briefing, reflect euphoric sentiment, with traders anticipating further gains and potential XRP-spot ETF approvals by December 2025, with Polymarket odds at 93%. However, the lack of comprehensive regulations raises concerns about scams, as noted by Nick Puckrin of The Coin Bureau, who highlighted $251 million in losses from the LIBRA meme coin rug pull. The market’s optimism is tempered by calls for balanced oversight to protect investors while fostering innovation.
What’s Next for Crypto Regulation?
The SEC’s retreat signals a new chapter for U.S. crypto regulation, with the Crypto Task Force tasked with delivering a regulatory framework by mid-2025. Analysts expect clearer guidelines on token classification, potentially treating most digital assets as commodities, as suggested by Kronos Research’s Hank Huang. However, ongoing cases, like those against Unicoin for alleged $100 million fraud, show the SEC’s focus on bad actors. The industry awaits further clarity, with Trump’s Bitcoin reserve proposal and relaxed ICO rules potentially driving growth. For now, the dismissals of cases against Coinbase, Ripple, and others mark a turning point, positioning the U.S. as a potential crypto innovation hub.
Conclusion: A New Era for Crypto
The SEC’s dismissal of major lawsuits against Coinbase, Ripple, Binance, and others in 2025 reflects a pro-crypto shift under Trump’s administration, driven by leadership changes and industry influence. These resolutions remove significant regulatory barriers, boosting market confidence and prices. However, the absence of clear regulations raises concerns about investor protection amid rising scams. As the Crypto Task Force shapes future policies, investors and firms must stay vigilant, leveraging platforms like X for updates while advocating for balanced oversight. The end of these legal battles marks a victory for crypto, but the industry’s long-term success hinges on sustainable regulation.
Ryan Matta is an independent crypto journalist, analyst, and content creator renowned for his sharp insights into the latest cryptocurrency news and regulatory updates. At
criptz, Ryan Matta brings his journalistic rigor to the forefront, providing audience-focused updates that are well-researched, balanced, and essential for anyone staying ahead in the fast-moving world of crypto policy and regulation.
Why Trust CRIPTZ?
At criptz.com, we bring you up-to-the-minute cryptocurrency news and expert analysis in 2025. Our seasoned team delivers accurate coverage of market trends, blockchain breakthroughs, and emerging innovations, backed by strict editorial standards. With 24/7 reporting on price movements, regulations, and tech advancements, we empower traders and investors to navigate the fast-paced crypto world with confidence. Count on Criptz.com for trustworthy insights into digital assets.
