"SEC-Justin Sun settlement seen as at odds with Trump administration’s crypto regulatory stance"
Summary
- Local legal experts said the roughly $10 million penalty settlement between the SEC and Justin Sun conflicts with the Trump administration’s regulatory stance.
- They noted that the SEC’s decision to fine Sun by treating sales of Tron (TRX) and BitTorrent (BTT) tokens as securities-law violations contradicts the Trump administration’s view that many cryptocurrencies are not subject to securities regulation.
- Decrypt said the settlement does not fit the current administration’s direction on virtual-asset (cryptocurrency) regulation and has only made regulators’ position more complicated.
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A settlement between the U.S. Securities and Exchange Commission (SEC) and Justin Sun, founder of Tron (TRX), has drawn criticism for being inconsistent with the current U.S. government’s approach to regulating virtual assets (cryptocurrencies).
According to crypto-focused outlet Decrypt on the 11th (local time), legal experts said the SEC’s settlement with Sun—at a penalty level of about $10 million—runs counter to the Trump administration’s regulatory stance.
The SEC recently announced plans to impose penalties on virtual-asset companies that violate U.S. securities laws.
However, since President Trump returned to power, regulators have been closing most crypto-related cases inherited from the previous administration and have signaled that many cryptocurrencies are not subject to securities regulation.
In this settlement, the SEC fined Sun after determining that sales of Tron (TRX) and BitTorrent (BTT) tokens violated securities laws. Decrypt noted that this conclusion does not align with the current administration’s regulatory direction and has only complicated regulators’ position.
JH Kim
reporter1@bloomingbit.ioHi, I'm a Bloomingbit reporter, bringing you the latest cryptocurrency news.
