The SEC has dropped charges against Justin Sun and Tron. The company will pay a $10 million fine.
The U.S. Securities and Exchange Commission (SEC) has dropped the charges filed in 2023 against Tron founder Justin Sun, the Tron Foundation, and the BitTorrent Foundation. The decision was made by a court in New York; Rainberry (formerly BitTorrent), led by Sun, is required to pay a $10 million fine and refrain from engaging in fraudulent market practices related to securities.
Sun and the related parties did not admit wrongdoing but agreed to the terms of the settlement. The SEC’s allegations included the unregistered sale of securities in the form of Tron (TRX) and BitTorrent (BTT) tokens, as well as manipulation of the TRX price through wash trading. The case also involved allegations that celebrities were paid to promote the tokens without disclosing sponsorship.
The parties involved consider the decision final, although formal court approval is still pending.
Market reaction: TRX showed modest growth following the news, while Bitcoin and Ethereum moved in the opposite direction. The current price of TRX is around $0.28–$0.29.