Mark Uyeda, former acting chair of the US Securities and Exchange Commission, said the agency dropped civil cases against cryptocurrency companies filed under the previous administration because it was preparing a significant shift in its regulatory approach.
Speaking at the Psaros Center for Financial Markets and Policy's Financial Markets Quality Conference on Wednesday, Uyeda explained that the SEC dropped cases involving crypto companies in early 2025 to preserve the agency's credibility. He noted that continuing litigation while simultaneously changing regulatory positions would undermine the commission's standing in court.
"I'm not about to have our litigators, even though they're having cases that were authorized under the prior administration, stand up in court and have a commission interpretation be issued that is a 180-degree change from what they'd been arguing for that court," Uyeda said. "I think that hurts [our] credibility as an agency."
During his tenure as acting SEC chair from January to April 2025, the commission withdrew cases filed against Kraken, Ripple Labs, Coinbase, and others. Many of these cases had been initiated under former SEC Chair Gary Gensler, who resigned when President Donald Trump took office.
Uyeda has served as an SEC commissioner since 2022 and continues in that role under current Chair Paul Atkins and Commissioner Hester Peirce. With Peirce's departure expected in November, the commission will have only two of its five members in leadership positions. Trump has not yet announced nominations for replacement commissioners.
