TechFlow news, March 3 — According to Kraken's official blog, staff from the U.S. Securities and Exchange Commission (SEC) have informally agreed in principle to dismiss their lawsuit against Kraken with prejudice, meaning Kraken will not be required to admit wrongdoing, pay any fines, or change its business model.
Kraken stated that the SEC’s dismissal is not only a legal victory but also a turning point for the U.S. cryptocurrency industry, ending a "resource-wasting, politically motivated campaign" and removing uncertainties that hinder innovation and investment, thereby paving the way for a stable and forward-looking regulatory framework. Kraken expressed gratitude to the new leadership at the White House and the Commission, whose bold and thoughtful leadership, it believes, will usher in a new era of crypto innovation in the United States.
Kraken emphasized that the SEC’s case lacked merit from the outset, and this dismissal confirms that regulatory actions should be based on facts rather than political agendas. The exchange criticized the former SEC leadership for pursuing a "regulation by enforcement" approach, which hindered industry progress and placed the U.S. at a disadvantage compared to countries that have established fair and transparent digital asset regulatory regimes.
Kraken said that a stable and predictable regulatory framework will encourage responsible growth, attract investment, and ensure U.S. competitiveness in the global digital asset economy. The exchange pledged to continue collaborating with policymakers and regulators to develop guidelines that protect consumers while advancing technological innovation, and expressed encouragement that congressional leaders and Commissioner Peirce’s crypto working group are advancing forward-looking legislation and regulation.
