US SEC Closes All Investigation Into Immutable

The US Securities and Exchange Commission (SEC) has decided to drop its investigation into gaming protocol Immutable. The platform revealed in a post on X that the market regulator will take no further action, ending its legal challenges in the United States.

Immutable and the US SEC

Based on the update shared on its X page, Immutable recalled the Wells Notice sent to it by the markets regulator in October of last year. As reported by CoinGape at the time, the markets regulator said the firm might have violated Federal Securities laws regarding its native token IMX.

While Immutable has always denied any wrongdoing, the closure of the probe justified its position. As noted on X, the SEC made zero findings of wrongdoing and is taking no further action. The gaming network called the trend a huge win beyond stakeholders in the Web3 gaming niche.

This US SEC action comes after the regulator closed all related Uniswap cases as part of its new shift.

The market regulator has unveiled plans to shift away from an enforcement regulation model to enhance innovations. Beyond the end of the Immutable probe, the regulator has ended other high-profile cases over the past few weeks.

US SEC Ends High-Profile Ripple and Coinbase Cases

During the Gary Gensler tenure, the regulator deepened or launched a series of legal battles. The Coinbase and Ripple Labs cases remained the two biggest over the past few years.

Both cases hinge on the firms facilitating the sales of unregistered securities tokens. As a trading platform, the SEC said Coinbase facilitated the sales of Cardano, Solana, and Polygon, among others, without proper registration.

Ripple Labs’ contention rests on the status of XRP as a security for both retail and institutional investors. Both cases have been dismissed with prejudice, and no further enforcement actions are expected.

Like Immutable, Ripple Labs also dropped its cross appeal in the XRP lawsuit, calling it a win for the broader ecosystem.

IMX Price Sees Breakout

IMX, the native asset of the Immutable network, has skyrocketed significantly following the news. At the time of writing, the token changed hands for $0.7282 after soaring by over 15% in 24 hours. The coin moved from an intraday low of $0.6218 to a high of $0.7474 before settling at its current level.

Tokens associated with prosecuted crypto projects often experience similar breakouts. While it remains uncertain if IMX can sustain this growth trend, experts, in a recent XRP price analysis, are optimistic that the lawsuit closure can push the coin to $5 in the short term.

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Godfrey Benjamin

Benjamin Godfrey is a blockchain enthusiast and journalists who relish writing about the real life applications of blockchain technology and innovations to drive general acceptance and worldwide integration of the emerging technology. His desires to educate people about cryptocurrencies inspires his contributions to renowned blockchain based media and sites. Benjamin Godfrey is a lover of sports and agriculture.

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