XRP News: SEC Drops Consensys Case: Is Ripple Lawsuit Next?

The SEC drops its case against Consensys, raising speculation about the Ripple lawsuit as crypto enforcement actions continue to decline.

• The SEC has dropped its lawsuit against Consensys and will no longer pursue claims against its Metamask wallet.
• The decision follows several dropped cases against other crypto firms, raising speculation about the Ripple lawsuit.
• Joseph Lubin confirmed that the SEC will file a stipulation with the court to officially close the case.

The U.S. Securities and Exchange Commission has dropped its lawsuit against Consensys, no longer pursuing claims against its Metamask wallet. This decision follows a series of dropped cases against other crypto firms, raising speculation about the Ripple lawsuit. While the SEC remains silent, a recent closed-door meeting suggests enforcement cases, including Ripple, may be under review.

SEC Ends Consensys Lawsuit, Closes Metamask Investigation

The SEC has decided to dismiss its enforcement action against Consensys regarding the Metamask wallet. The firm’s CEO, Joseph Lubin, confirmed that the SEC will file a stipulation with the court to formally close the case. Following this major enforcement retreat, the regulator’s new approach to crypto seems to be undergoing a possible shift.

Metamask, an Ethereum-based wallet developed by Consensys, was previously accused of violating securities laws. The SEC’s lawsuit alleged that the wallet facilitated unregistered securities transactions, making it a target of regulatory scrutiny. The Commission decided to end its case which displays its updated strategy for securing compliance within the cryptocurrency realm.

Lubin extended an olive branch to the SEC, acknowledging its recent pro-innovation and pro-investor approach. He showed distinctive behavior compared to other crypto executives because he rejected hostile language against the Commission while embracing its new direction. Ripple’s tone of cooperation stands out because most industry leaders continue to criticize former SEC enforcement activities.

SEC Continues Dropping Crypto Cases, Ripple Remains Unresolved

The SEC has dropped six crypto-related enforcement cases in the past week, signaling a broader reduction in regulatory actions. The investigations into Gemini ended as the SEC tried to settle its case with Tron. The rapid dismissal of cases has fueled speculation that the SEC may be shifting its enforcement strategy.

The SEC does not provide updates about its prominent lawsuit against Ripple by maintaining radio silence regarding this matter. The prolonged case that began three years ago remains the main focus in the eyes of the crypto community. Many industry analysts believe the SEC’s recent decisions indicate a likelihood of settlement or dismissal.

Crypto advocates have flooded the SEC’s social media with demands for clarity on Ripple. The ongoing lawsuit influences digital asset categorization standards throughout the industry and future industry standards. The lack of an official statement generates confusion about the prospects for the court case in the community.

Closed-Door Meeting Hints at Ripple Case Developments

The SEC held a closed-door meeting today to discuss ongoing litigation and enforcement actions. The meeting focused on settling legal disputes, which implied Ripple was among the matters under consideration. Company experts assume the Commission is devising its following procedures despite releasing no official announcement.

Earlier this month, the SEC consulted industry leaders about ETP staking, indicating a willingness to engage with crypto firms. The outcomes from these discussions have resulted in policy adjustments which leads some observers to believe the Ripple case will soon come under review. The agency shows signals of performing internal assessments through the scheduled meeting regarding its current crypto enforcement methods.

For now, no concrete evidence suggests the SEC will immediately drop the Ripple case. However, the increasing number of dismissed cases shows the government is shifting its law enforcement direction. Many experts believe it is only a matter of time before the SEC takes action on Ripple’s lawsuit.