PayPal PYUSD Hits Major Win As US SEC Drops Case
Highlights
- The US SEC has dropped its investigation into PayPal PYUSD.
- In a Tuesday filing, PayPal revealed the SEC's decision to close the case without taking enforcement action.
- The firm received a subpoena from the SEC’s Division of Enforcement over its stablecoin in November 2023.
In an astounding development within the crypto industry, the US Securities and Exchange Commission (SEC) dropped its investigation into PayPal’s PYUSD stablecoin. In a Tuesday filing, the SEC revealed its decision to close the investigation without pursuing any enforcement action.
Notably, this marks another major triumph for the crypto industry, building on its recent successes in multiple lawsuits.
SEC Closes Investigation into PayPal PYUSD
In an April 29 filing, payments giant PayPal revealed that the US SEC dropped its investigation into the US dollar-backed stablecoin, PYUSD. As noted by PayPal, the SEC confirmed its decision to end the case earlier this year.
Reportedly, PayPal received a subpoena from the SEC’s Division of Enforcement over its stablecoin in November 2023. In February 2025, the SEC informed the firm that they have decided to close the case “without enforcement action.”
Uncertainty Prevails Despite PayPal Case Dismissal
Significantly, the agency’s decision to withdraw the PayPal PYUSD case has brought a sense of relief for the platform as well as the whole crypto industry. However, the future of stablecoins remains uncertain due to the lack of regulatory clarity.
Recently, US President Donald Trump passed the STABLE Act, setting regulatory guidelines for USD-backed stablecoins like Tether (USDT) and Circle (USDC). Despite this, the stablecoin space faces regulatory uncertainty and issues. However, the SEC’s decision to drop the investigation is seen as a positive development for the crypto industry, indicating a shift towards lighter regulatory oversight.
SEC Shifts Gears: Easing Regulations in the Crypto Space
Under Donald Trump, the SEC is taking a renewed approach to the crypto industry. Sparking optimism within the crypto space, the agency dismissed multiple lawsuits, including Robinhood, Coinbase, and Kraken. The high-profile XRP lawsuit has also been settled, awaiting official confirmation from the commission.
- FOMC Minutes Signal Fed Open to More Rate Cuts This Year, Bitcoin Bounces
- North Dakota To Issue ‘Roughrider’ Stablecoin Following Wyoming’s Footsteps
- Ethena Labs and Jupiter Partner to Launch JupUSD Stablecoin on Solana
- BlackRock’s Bitcoin ETF Leads ETFs With $3.5B Weekly Inflows as It Eyes $100B in AUM
- MetaMask Launches Hyperliquid Perpetuals In-App, Plans To Integrate Polymarket
- Bitcoin Price Prediction as US Govt. Shutdown Extends- What’s Next for BTC?
- Solana Price Megaphone Points to a Parabolic Move as SOL Treasuries Near $3B
- XRP Price Prediction Amid ETF Approval Roadblock as Analyst Warns of $2.72 Dip
- Binance Coin Price Prediction If It Surpasses Bitcoin Marketcap— Is $3000 Possible in 2025?
- ASTER vs HYPE Price Analysis – Which Perp DEX Token Looks Poised to Dominate Q4 Performance?
- Ethereum Price Could Soar to $6,500 as BlackRock’s ETF Nears $20B Milestone
Why Trust CoinGape
CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights Read more…to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.
