SEC Revises Crypto Enforcement Strategy After Criticism

The U.S. Securities and Exchange Commission (SEC) has acknowledged that some of its past crypto enforcement cases failed to deliver investor benefits and misinterpreted securities laws.

In a statement outlining its 2025 enforcement results, the SEC said that since fiscal year 2022, it had pursued 95 cases tied to 'book-and-record violations,' resulting in $2.3 billion in penalties.

The agency's previous approach reflected a 'bias for volume of cases brought versus matters of investor protection,' according to the SEC.

The SEC has moved away from the enforcement-heavy stance associated with former Chair Gary Gensler and has redirected resources towards addressing fraud, market manipulation, and abuses of trust.