A recent report from Bloomberg shows that, since January 2025, the SEC has continued to file enforcement actions at roughly the same pace as it did during the same period last year. Forty-four enforcement actions were filed between President Trump’s inauguration and the end of June. During the same time period in 2024, the SEC filed only slightly more, 48. This steady pace is surprising, given the well-documented decreases in the SEC’s workforce. For example, Reuters reported estimates that staffing levels at the SEC are down 15-19% under the new presidential administration.
While the sheer number of enforcement actions remains largely unchanged, there has undoubtedly been a shift in the subject-matter focus. SEC Chairman Paul Atkins has repeatedly stated that his SEC will move away from the types of cryptocurrency investigations championed by prior-Chairman Gary Gensler. Instead, the new stated focus is more “traditional” enforcement cases against old-school fraud like Ponzi schemes, insider trading, real estate investment scams, and the like. And this is not just talk. Since January 2025, the SEC has voluntarily dismissed or stopped investigating a number of prominent crypto cases that began under Chairman Gensler.
As the Bloomberg reporting points out, however, it would be wrong to conclude that crypto-related fraud, or the crypto industry more broadly, is now immune to SEC oversight. Traditional types of fraud perpetrated using crypto can still come under the microscope. In addition, Commissioner Hester Peirce recently made a public statement that tokenized securities are still securities and still subject to securities laws. Commissioner Peirce is well-known for her crypto-friendly stance, so the crypto industry should pay special heed to her message.
The steady pace of SEC enforcement is an unexpected but welcome sign that the market watchdog remains alert and active despite a shift of focus. We hope to see continued action to maintain the integrity of our markets and protect investors. And of course, if you have any information related to securities fraud, please contact an attorney.
