The SEC has dropped its investigation into Robinhood Crypto, deciding not to pursue enforcement action.
This follows the agency’s dismissal of its case against Coinbase, signaling a regulatory shift under Trump.
Robinhood’s crypto revenue surged 700%, with Bitcoin nearing $100,000 and shares up 38% in 2025.
Robinhood just got a major regulatory break. The SEC has officially closed its investigation into the company’s crypto division, deciding not to pursue enforcement action.
ICYMI: 🇺🇸 SEC ends its investigation into Robinhood as part of its crypto policy overhaul 🚀 pic.twitter.com/mfDY6kGlw2
The news comes just days after Coinbase announced a similar victory, signaling what could be a dramatic shift in crypto regulation under the new administration.
Robinhood Walks Free—What Changed?
Robinhood revealed Monday that it received a letter from the SEC’s enforcement division confirming the case was closed with no further action.
This follows a May 2024 warning, where the SEC suggested potential securities violations tied to Robinhood’s crypto unit.
Robinhood had already been subpoenaed, scrutinized over listings, custody, and platform operations.
Despite years of attempting to work with regulators, the company had faced legal uncertainty—until now.
“Robinhood Crypto always has and will always respect federal securities laws,” said Dan Gallagher, the company’s chief legal officer. “We’re happy to see a return to the rule of law and fairness at the SEC.”
The SEC’s move to drop cases against both Robinhood and Coinbase is being seen as an early sign of a regulatory reset—one that President Donald Trump had promised during his campaign.
Under the previous administration:
Crypto companies faced aggressive enforcement actions, often without clear regulatory guidelines.
Former SEC Chair Gary Gensler’s approach left many in the industry frustrated, as rules remained unclear.
Despite Bitcoin’s rise, many firms saw the period as a regulatory nightmare.
Now? That tide appears to be turning.
Robinhood’s Crypto Business is Booming
While regulation loosens, Robinhood’s crypto arm is thriving:
Nearly half of its $672M Q4 transaction-based revenue came from crypto trading.
Crypto revenue surged 700%, fueled by Bitcoin’s rally toward $100,000.
Robinhood shares are already up 38% in 2025.
With the SEC backing off and crypto trading surging, Robinhood—and the broader industry—could be gearing up for a major expansion.
