Waters Demands SEC Hearing Over Dropped Crypto Cases Amid Enforcement Retreat

Representative Maxine Waters has escalated her scrutiny of the SEC's recent dismissal of high-profile crypto enforcement actions, formally requesting House Financial Services Committee Chairman French Hill schedule an oversight hearing with SEC Chairman Paul Atkins. The move follows what Waters describes as an "unprecedented politicization" of the agency under the Trump administration.

The SEC's termination of cases against Coinbase, Binance, and Justin SUN has drawn particular ire. Waters' letter alleges defendants were prematurely announcing dismissals before Commission votes—a practice she claims undermines enforcement credibility. "The SEC has terminated or stayed major enforcement actions against multiple crypto companies credibly accused of securities violations," the Democrat wrote, questioning whether Atkins' office played an "unusually active role" in negotiating settlements.

Notably absent are hearings with Atkins, contrasting sharply with former Chair Gary Gensler's two appearances during his first year. The enforcement retreat comes as the crypto market shows renewed volatility, with Bitcoin (BTC) and Ethereum (ETH) facing pressure while memecoins like PEPE and DOGE defy broader trends.