TechFlow News, May 7: According to Decrypt, the now-defunct cryptocurrency exchange Bittrex filed a motion with a federal judge this week seeking to vacate its $24 million settlement agreement with the U.S. Securities and Exchange Commission (SEC) reached in 2023, and requesting that the SEC fully refund the penalty.
In the motion, Bittrex’s attorneys argued that the SEC had alleged in its lawsuit that the relevant crypto tokens constituted unregistered securities; however, following the Trump administration’s return to power, the SEC has publicly acknowledged that this legal theory was flawed and has since dismissed nearly all similar cases—except Bittrex’s, which remains unresolved. Bittrex contends that this treatment is unfair and demands equal treatment.
Notably, the SEC initiated procedures in March 2026 to transfer the $24 million to the U.S. Department of the Treasury for distribution to harmed customers. Bittrex’s attorneys are urgently requesting that the court issue an order directing the return of the funds before the transfer occurs. The SEC has declined to comment on the matter.
