Representative Stephen Lynch of Massachusetts argued that enforcement activity has declined significantly since Trump took office and appointed Atkins to lead the Securities and Exchange Commission. According to Lynch, enforcement actions targeting the crypto sector have fallen by roughly 60%. He cited the SEC’s decision in May 2025 to move to dismiss its case against Binance as a prominent example of this trend.

Concerns Over Political and Foreign Ties

The hearing extended beyond enforcement statistics. Lawmakers also raised concerns about the Trump family’s connections to cryptocurrency ventures. Particular attention was given to World Liberty Financial (WLFI), a decentralized finance platform reportedly linked to the Trump family.

Recent reports indicate that Aryam Investment 1, an Abu Dhabi-based investment vehicle backed by Sheikh Tahnoon bin Zayed Al Nahyan, the United Arab Emirates’ national security adviser, acquired a 49% stake in the startup behind WLFI. Lynch suggested that such foreign involvement, combined with crypto projects associated with the Trump family, could present risks to both national security and investor confidence.

He also pointed to recent market volatility, noting that the crypto market has declined by approximately 25% over the past month. In his view, ongoing scams and weakened enforcement have damaged trust, harming consumers and the broader reputation of the industry.

SEC Pushes Back

Chair Atkins rejected the characterization that the agency has retreated from oversight. He maintained that the SEC continues to pursue a “robust” enforcement agenda and remains active in bringing cases where warranted.

However, Representative Maxine Waters of California questioned the motivations behind the dismissal of certain high-profile lawsuits. She argued that several cases were dropped despite prior legal momentum in court. Waters further alleged that crypto executives who benefited from pardons or withdrawn lawsuits had contributed millions of dollars to Trump and his family. She reiterated calls for scrutiny of the Trump family’s crypto ventures, suggesting they could serve as indirect channels for foreign influence over executive branch policy.

Political Stakes in an Election Year

The debate unfolds against the backdrop of a U.S. midterm election cycle. If Democrats regain control of at least one chamber of Congress, the trajectory of crypto market structure legislation could shift or slow considerably.

With regulatory policy, political power, and digital assets now closely intertwined, the future of U.S. crypto oversight appears increasingly shaped by electoral outcomes as much as by financial law.

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The post Crypto Regulation Back in the Spotlight in Washington appeared first on Coin Engineer.

Competition for TikTok Sale Intensifies!

Zoop, a social media app developed by OnlyFans founder Tim Stokely, and HBAR Foundation filed an intent to bid for TikTok on April 2, according to a Reuters report. The bid comes amid offers from major tech companies such as Amazon, Oracle, Microsoft, and Rumble, all aiming to keep the popular video-sharing app operational for US users.

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Zoop co-founder RJ Phillips reportedly said:

“Our bid for TikTok isn’t just about changing ownership; it’s about creating a new paradigm where both creators and their communities benefit directly from the value they generate.”

April 5: Deadline for TikTok’s Future

In 2024, US Congress passed a law that could potentially ban TikTok unless the company separates from its China-based parent company, ByteDance. The original deadline for the sale was January 19, but former President Donald Trump signed a 75-day extension, pushing the deadline to April 5.

HBAR Foundation, an organization working with Hedera, has a market capitalization exceeding $7.3 billion.

TikTok Sale or Ban Expected Soon

The future of TikTok remains uncertain. President Trump could extend the sale deadline further or move forward with a ban. However, only an act of Congress could override this law. The announcement of sweeping tariffs by Trump on April 4 could also shake the markets.

Reddit co-founder Alexis Ohanian is also attempting to buy TikTok and bring it on-chain. He is one of the significant figures looking to invest in the platform’s future.

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The post Big Move From HBAR Foundation and OnlyFans Founder! appeared first on Coin Engineer.

Legal Battle Between 3AC and FTX

In a case heard in the Delaware Bankruptcy Court, Chief Judge John Dorsey rejected objections from FTX creditors. The FTX side argued that 3AC‘s claim was untimely and an attempt to delay the process. However, the court ruled that FTX‘s delayed response in providing necessary documents had caused the delay.

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3AC initially filed a $120 million claim in June 2023. Later, in November 2024, it increased this amount to $1.53 billion, alleging that FTX had engaged in unjust enrichment and failed to fulfill its obligations. According to 3AC, FTX liquidated $1.33 billion of its funds in 2022, causing significant financial damage.

Current Status of the FTX and 3AC Case

FTX objected to 3AC‘s amended claim, arguing that it was filed too late and lacked sufficient information. However, the court determined that 3AC‘s delays resulted from FTX withholding critical records, leading to the approval of the increased claim.

As the FTX bankruptcy proceedings continue, the exchange has also filed lawsuits against SkyBridge Capital, Binance, and Waves to recover lost funds. FTX is actively pursuing legal action to reclaim assets linked to former CEO Sam Bankman-Fried‘s past financial decisions.

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The post Three Arrows Increases Its FTX Claim to $1.53 Billion! appeared first on Coin Engineer.