The US Security and Exchange Commission (SEC) has dropped its lawsuit against Consensys over its Metamask Software, adding one more name to the droplist in 2025.
The Consensys founder Joseph Lubin has announced that the US Security and Exchange Commission has agreed to drop its enforcement case against Consensys’s Metamask Wallet, highlighting the new US government and SEC leadership’s redefined approach towards crypto assets.
In a long battlesuit against SEC, Consensys now gains victory, SEC has dismissed its lawsuit against Metamask services. Consensys has stood up for the blockchain developers in an hour it was most needed against the outreach of regulations on a promising platform like crypto, and with the lawsuit drop, finally their battle is found fruitful.
The case drop involves no financial penalties and is waiting for final approval from the SEC. In his X post, Lubinn has revealed that once the SEC submits a stipulation to the court the case will be officially closed.
Consensys Long Battle Against SEC’s Outreach Now Ends
The now-dropped case alleged that Consensys was involved in unregistered security transactions through the platform’s MetaMask Staking and MetaMask Swap services.
SEC has claimed that Consensys has generated around $250 million in fees without proper authorization and sued the company in 2024. It also accused Consensys of facilitating unregistered security trades for Lido and Rocket Pool since 2013.
Before the Metamask allegations, Consensys took legal action against the SEC in April 2024, challenging its attempt to differentiate Ether as a security. The team behind Consensys has advocated that the company’s operations and functionalities abide by the US regulatory frameworks and also asked for transparent guidelines to govern the crypto industry.
Now the long battle has ended showing the changing dimensions of crypto regulations in the US. Happier with the case resolution, Lubin has revealed his plan to expand Consensys by prioritizing decentralized technologies and Ethereum.
Consensys has also appreciated the SEC’s new leadership and the pro innovations they are taking to enhance the crypto industry. It stated crypto wants the US government to address the best interests of consumers and businesses alike so it can be at the forefront of the promising crypto landscape.
SEC’s Changed Approach To Crypto
2025 is a year of progress for crypto in the US, with the Donald Trump government, crypto became more accessible and less restricted in the US. Donald Trump changed the SEC leadership, making Mark Uyeda, a crypto enthusiast as standing Chairperson of the SEC.
Under his leadership, changes are happening in crypto regulations in the US. Not only Consensys but many crypto exchanges and firm’s lawsuits were dropped by SEC in the last few weeks and many are under process.
In the past weeks, the SEC has suspended investigations on Gemini, Coinbase, OpenSea, Robinhood Crypto, and Uniswap. Kraken, Bittrex, and Ripple are on the line waiting for the lawsuit to drop.
Crypto Declining Amid A Crypto-Friendly Wave
Though the US has witnessed a crypto-friendly wave since the Donald Trump administration, the increasing uncertainties revolving around crypto are putting investors under a bubble. The increased market cap of Nvidia’s stock and the decline in Bitcoin price make investors think twice before investing in highly volatile crypto assets.
The Bybit hack and Libra token scam have reduced investor’s confidence. However, according to some analysts, this is not the first time, and things like this come and go, but crypto remains intact.
