On Mar. 5, Justin Sun reached a $10 million settlement with the SEC to resolve a civil fraud case that alleged he generated $31 million through wash-trading-style transactions and undisclosed celebrity promotions.

The settlement, which requires court approval and includes no admission of wrongdoing, moves the case toward dismissal.

The same day, US banking regulators announced that banks won’t face additional capital charges for tokenized securities compared to traditional ones. This technology-neutral framing represents another brick removed from crypto’s regulatory wall.

Sun’s settlement lands a year into the President Donald Trump administration’s regulatory retrenchment.

In May 2025, the SEC dismissed its civil lawsuit against…