The U.S. Securities and Exchange Commission has ended itslawsuit against crypto entrepreneur Justin Sun after reaching a $10 millionsettlement with one of his companies, closing a legal dispute that began threeyears ago. The settlement follows a series of SEC actions that were dropped orsettled in recent months, including cases involving Kraken and Coinbase.The resolution comes as part of a broader shift in U.S.crypto policy. The Commodity Futures Trading Commission is finalising approvalfor crypto perpetual futures and coordinating with the SEC onrules for other digital assets. At the same time, the CFTC has cut nearlyall enforcement staff in its Chicago office, raising questions about theregulator’s capacity to pursue complex cases.SEC Alleges TRX, BTT ViolationsIn a letter filed yesterday (Thursday) in federal court inManhattan, the SEC said Rainberry, a Sun-linked company, agreed to pay the fineand that it would drop claims against Sun, the Tron Foundation, and theBitTorrent Foundation. Sun and the companies did not admit or deny theallegations.The SEC first brought the case in March 2023. It accused Sunand related companies of selling unregistered crypto assets, including TRX andBTT tokens linked to the Tron ecosystem. The regulator also alleged Sundirected “manipulative wash trading” of TRX and ran promotional campaigns usingcelebrities. Several public figures, including Akon, Lindsay Lohan, andYouTuber Jake Paul, promoted the tokens “without disclosing theircompensation.” Sun disputed the accusations, arguing the SEC was applying U.S.law to “predominantly foreign conduct.”JUST IN: 🇺🇸 SEC ends case against Tron Founder & crypto billionaire Justin Sun. pic.twitter.com/hb8j85T0eO— Watcher.Guru (@WatcherGuru) March 5, 2026Sun Invests $75M in Trump-Linked CryptoSun’s ties to a Trump-linked crypto venture have drawnadditional scrutiny. In November 2024, he became the largest investor in WorldLiberty Financial, a Trump family project, initially buying $30 million intokens and later increasing the investment to $75 million. Lawmakers previouslywarned that failing to pursue the case could “undermine investors’ confidence”and raised concerns about a potential “pay-to-play scheme.”After the settlement, Sun posted on X that “today’sresolution brings closure” and said he looked forward to “working with the SECto develop guidance and regulations for crypto going forward.”This article was written by Tareq Sikder at www.financemagnates.com.