On Friday, Coinbase announced that the SEC has agreed to terminate its lawsuit against the company with prejudice, indicating that the case cannot be refiled.

This decision, pending the approval of the SEC’s Commissioners, signals a shift in regulatory attitude toward cryptocurrencies under the Trump administration, which appears to be more supportive compared to the stance taken during Gary Gensler’s tenure.

The SEC’s lawsuit, initiated in 2023, claimed that Coinbase was functioning as “an unregistered national securities exchange, broker, and clearing agency” and that its crypto assets should be classified as securities.

In its defense, Coinbase maintained that the SEC had not provided sufficiently clear regulations regarding cryptocurrencies to justify the lawsuit.

“Back in 2023, many were cautioning against litigation with the SEC, warning it could lead to losses amounting to tens of millions of dollars,” said Coinbase CEO Brian Armstrong in a video shared on X, revealing the news of the lawsuit’s dismissal. He also voiced concerns about the SEC’s motives and strategies.

Armstrong expressed that his efforts were aimed at safeguarding the future of the cryptocurrency industry in the United States.

“Many other firms don’t have the financial resources we do,” he pointed out, adding, “Ultimately, we incurred $50 million in costs to defend ourselves,” which underscored the expected financial burden of the legal battle.

A spokesperson for Coinbase confirmed that this figure was solely for external legal costs and did not account for the time spent by employees.

Despite this legal win, Armstrong emphasized the urgent need for comprehensive crypto legislation in the U.S. to establish favorable regulatory frameworks and prevent the country from lagging behind others in the industry.