• Robinhood says the SEC has ended the regulator’s probe into Robinhood Crypto.
• SEC issued a Wells Discover to Robinhood Crypto in Might 2024.
• SEC’s closing of the Robinhood Crypto investigation comes days after the company closed an identical probe in opposition to Opensea.

The US Securities and Change Fee has dropped its investigation into Robinhood’s digital property arm.

Robinhood introduced by way of weblog put up on Monday, Feb. 24 that the SEC has closed its enforcement motion probe in opposition to the corporate.

“We applaud the staff’s decision to close this investigation with no action,” stated Dan Gallagher, chief authorized officer of Robinhood Markets.

The SEC’s choice to finish its investigation into Robinhood comes simply days after one other platform, Opensea, stated the regulator was ending its probe.

Each Robinhood and Opensea obtained ‘Wells Notices’ from the SEC in 2024.

Final week, crypto alternate Coinbase additionally introduced the regulator had agreed to dismiss the lawsuit it had filed in opposition to the US-based firm in 2023.

SEC closes Robinhood probe

Within the weblog put up on Monday, Robinhood stated it obtained communication from the SEC’s Enforcement Division on Friday, Feb. 21.

The letter detailed the company’s choice to finish the investigation into Robinhood Crypto, with no additional motion. SEC’s Wells Discover alleged potential securities legal guidelines violations by the buying and selling platform.

Nonetheless, Robinhood maintained it had not violated any securities legal guidelines and didn’t supply securities to customers.

“This investigation never should have been opened,” Gallagher added. “Robinhood Crypto always has and will always respect federal securities laws and never allowed transactions in securities. As we explained to the SEC, any case against Robinhood Crypto would have failed. We appreciate the formal closing of this investigation, and we are happy to see a return to the rule of law and commitment to fairness at the SEC.”

The SEChas taken a extra pro-crypto innovation stance for the reason that exit of former chair Gary Gensler. President Donald Trump’s appointment of pro-crypto people into positions on the company has helped this shift, together with the institution of a crypto job drive by appearing chair Mark Uyeda.