NYT reports Trump and his family allegedly benefited financially from settled crypto cases linked to donations and business ties.
The New York Times reported that former President Donald Trump and his family may have financially benefited from the settlement of several cryptocurrency cases.
The investigation found that some of these cases were linked to political donations or business ties to the Trump family, raising questions about unusual legal reversals.
SEC Crypto Cases Rolled Back Under Trump
According to the New York Times, numerous crypto enforcement actions were either dropped or reduced after Trump returned to office. The report states that cases involving companies with connections to the Trump family faced fewer penalties than usual.
One example is Ripple Labs, where SEC attempted to reduce a court-ordered $125 million penalty to $50 million. The judge, however, rejected the reduction citing the agency’s abrupt reversal.
The report also notes that the SEC allowed other crypto cases to pause or close, particularly those connected to political or financial ties. In total, investigators found that over 60 percent of crypto-related cases active at the start of Trump’s second term were affected.
Meanwhile, enforcement actions in other industries continued at normal rates, showing a marked difference.
The Times highlighted that crypto-related dismissals were unusual because the SEC rarely reversed cases in clusters. Legal experts noted that such withdrawals during the same administration are not common, particularly in a fast-growing sector like cryptocurrency.
Financial and Political Links to Crypto Firms
The investigation reported that some crypto companies had direct financial or political connections to the Trump family. For instance, the Winklevoss twins’ company faced a federal lawsuit which regulators moved to freeze around the same time.
Other firms later formed business ties with the Trump family or donated politically.
The report cites Tron founder Justin Sun, whose company later became linked to digital assets tied to Trump. Lawyers representing Trump’s related businesses denied any link between government decisions and private companies.
White House press secretary Karoline Leavitt stated the administration’s actions were part of “fulfilling the president’s promise to make the United States the crypto capital of the world by driving innovation and economic opportunity for all Americans.”
Of 23 inherited crypto cases from the Biden era, the SEC reportedly pulled back on 14. Eight of these involved companies that developed ties with Trump, according to the Times. These cases were either dismissed or paused, suggesting a selective approach.
SEC Enforcement Patterns Compared to Previous Administration
The New York Times contrasted the current administration’s crypto enforcement approach with the previous one.
It reported that the SEC did not voluntarily dismiss any crypto cases inherited from Trump’s first term during the Biden administration. The sudden rollbacks under Trump’s second term, therefore, stood out to investigators.
The report indicates that the selective handling of cases may have benefited companies with political or financial ties.
Other crypto firms without such links faced standard enforcement procedures, showing a difference in treatment. This pattern also applied to settlements, where penalties were reduced or cases were quietly paused.
The findings continue to attract attention as lawmakers and legal experts review the reported connections between the administration and the cryptocurrency sector. The SEC has not publicly commented on these specific allegations, while the Trump legal team maintains that all government decisions were independent.
