Courts, Not Regulators, May Shape Crypto Law — But That's Not Necessarily A Bad Thing

As the SEC retreats from its aggressive crypto enforcement posture under former Chair Gary Gensler, observers have speculated that courts will now become the primary venue for resolving disputes over how federal securities laws apply to digital assets. But despite the headlines suggesting a flood of new litigation, we at Anderson P.C. are not convinced that such a surge is inevitable—or even problematic.

There's no question that the regulatory vacuum left by the SEC's recent reversals has created legal uncertainty. In the absence of formal rulemaking or administrative enforcement, some market participants have pointed to class action lawsuits and investor-led litigation as the next frontier. While this shift may be framed as an alarming transition, it's worth examining the dynamics more closely.