Cronos (CRO) Price Jumps 10% as SEC Closes Its Investigation into Crypto.com

Cronos (CRO), the native coin of Crypto.com, jumped nearly 11% in 24 hours. On March 28, it briefly reached $0.11 before falling back to around $0.10.

Cronos (CRO) is up almost 11% in 24 hours. On March 28, it briefly touched $0.11 before pulling back to trade at around $0.10 at press time. This rise is part of a broader 40% gain in the past week, highlighting renewed investor interest in CRO.

The U.S. Securities and Exchange Commission (SEC) has closed its investigation into cryptocurrency exchange Crypto.com.

The SEC notified the exchange that its inquiry had concluded and that no further action would be taken. This concludes a 10-month period of scrutiny that began in October 2024.

The SEC’s investigation was focused on whether Crypto.com had violated any securities laws. This probe followed a Wells notice issued by the SEC in August 2024, which signaled plans for legal action. The regulator had accused Crypto.com of being an unregistered broker-dealer and clearing agency and began collecting evidence for an impending lawsuit.

However, in September 2024, the SEC announced a case against another exchange, rendering its case against Crypto.com moot.

The agency’s probe into the exchange started after it sued Binance and its CEO Changpeng Zhao in December 2023, kicking off a series of lawsuits against major crypto firms.

The SEC’s investigation into Crypto.com comes at a time when the agency is facing increasing scrutiny for its role in regulating the cryptocurrency industry.

In response to the SEC’s charges, Crypto.com’s CEO, Kris Marszalek, issued a sharp rebuke of the agency and urged an end to what he described as overregulation.

The exchange’s lawsuit questioned the SEC’s authority and attempted to define more clear-cut regulations for the crypto environment.

But in December 2024, Crypto.com dropped its lawsuit as the same time significant changes took place in the political and regulatory environment in the U.S., with Donald Trump being re-elected as President suggesting that the politically-motivated, stringent regulations for cryptocurrency would probably reduce in the face of a new administration that had already attempted to regulate big players in the sector such as Kraken, Coinbase, and Uniswap.

After the SEC’s announcement, Nick Lundgren, the Chief Legal Officer of Crypto.com, accused the SEC of weaponization of its office against the crypto industry.

He criticized the long investigation and the legal limbo that it caused. In his remarks, he claimed that Crypto.com has always taken compliance and integrity seriously. He was also encouraged by the fact that the anticipated new SEC Chair’s assurances would lead to a cooperative, rather than adversarial, relationship and that any new regulatory regimes would rely on legislative persuasion to ensure clarity and an orderly process, not enforcement.

The SEC’s announcement to conclude its probe into Crypto.com has granted CRO market movement a much-needed boost, with the token seeing double-digit increases.

As regulatory conditions continue to develop, Crypto.com powers its commitment to compliance and is hopeful for its future discussions with policymakers. Retail and institutional investors will be watching these developments closely as regulatory clarity may facilitate growth and more stability for the wider cryptocurrency asset class.