According to Fortune, the U.S. Securities and Exchange Commission (SEC) has decided to end its investigation into Paxos, a New York-based stablecoin issuer, and determined that BUSD is not a security. On July 9, Jorge Tenreiro, acting director of the Crypto Assets and Networks Division, said in a letter to Fortune that he had no intention of recommending enforcement action.
More than a year ago, the SEC issued a Wells Notice to Paxos, hinting at an upcoming enforcement action targeting the U.S. dollar-backed BUSD stablecoin issued by Paxos in cooperation with Binance. Walter Hessert, head of strategy at Paxos, said the formal termination of the investigation was a huge relief for them, and expected that it would create more certainty in the market and attract more large companies to join.
