US SEC Closes Investigation Into Web3 Firm Immutable

The U.S. Securities and Exchange Commission (SEC) discontinued its legal inquiry into Immutable’s doings as zero wrongdoing was found, and no further action is expected from the SEC.

The Ethereum-based Web3 gaming platform described the news as a huge win for all ambassadors of digital ownership rights, particularly Web3 gaming.

The SEC has now officially dropped its inquiry into Immutable, with no enforcement action to be taken.

This is an enormous win for web3 gaming – after a year of fighting, this threat to digital ownership rights has finally been put to rest.

We’re excited to build.

— Robbie Ferguson | Immutable (@0xferg) March 25, 2025

In a post on X, Immutable co-founder Robbie Ferguson depicted the case as a “threat” to digital ownership rights and also called the win a big one for Web3 gaming.

He added that this win will allow Immutable to bring more gamers on-chain, as there are about 3.5 billion gamers worldwide.

The discontinuation of the investigation brings an end to the five-month struggle, which began in October 2024 when the SEC issued a Wells Notice informing the company to bring enforcement against it.

Last year, the SEC issued Immutable a Wells Notice.

That inquiry is now officially closed, with zero findings of wrongdoing, and the SEC is taking no action.

This is a huge win – not just for web3 gaming, but everyone who believes in digital ownership rights.

Let's build.

— Immutable (@Immutable) March 25, 2025

The company added that the SEC’s decision to stop the investigation affirms the company’s undoubted support for rules and regulations. 

“We welcome the U.S. Government’s commitment to establishing clear regulatory frameworks for the digital assets industry. Constructive regulation provides certainty for builders, and helps foster the innovative potential of blockchain technology,” the company said.

U.S. Regulatory Bodies Continue Retreat from Web3 Probes

The recent freedom enjoyed by Immutable adds to several cases the U.S. Securities and Exchange Commission (SEC) and other US regulatory bodies have ceased to pursue. 

Recently, the U.S. Treasury Department lifted economic sanctions against an Ethereum-based cryptocurrency mixer, Tornado Cash. The company was accused of making ground for money laundering originating from outside the U.S.

JUST IN: 🇺🇸 US Government lifts sanctions and ban on popular crypto Mixer, Tornado Cash pic.twitter.com/qTXOzhHQsn

— Coinwaft (@coinwaft) March 21, 2025

Another report surfaced recently that the over-three-year legal tussle between the SEC and Ripple was dropped, with Ripple ultimately forfeiting part of its fortune.

🚨NEW: @SECGov Drops Case Against $XRP, Ripple CEO @bgarlinghouse Accuses Regulator of Market Manipulation

📰READ MORE: https://t.co/vYFVNQFCwq pic.twitter.com/xwnnWpxxc8

— Coinwaft (@coinwaft) March 19, 2025

Certainly, the pro-crypto stance of President Donald Trump brings forth the now-enjoyed freedom in the cryptocurrency world.

U.S. SEC Shifts Stance on Crypto Under Trump Administration

Since Donald Trump’s return as president, the country has made different changes to its crackdown on the crypto industry, which was witnessed under former President Joe Biden. It has also discussed finding lasting regulations in the interest of all.

Crypto industry experts welcome the U.S. SEC’s move to regulate crypto space activities. Nevertheless, they suggest that a tailored regulation specific to digital assets will encourage innovation, not the general rules that stifle innovations and cause the crypto market to plummet.

In a recent report, the U.S. held its first roundtable under the new leadership of the SEC with crypto experts, focusing on laws that specifically apply to digital assets. The participants promised that more roundtables would be held.