SEC drops case against BitClout founder with prejudice

The regulator filed for dismissal of its case against BitClout founder Nader Al-Naji, after “reassessment of the evidentiary record."

The US Securities and Exchange Commission (SEC) has dropped a two-year-long case against the founder of the blockchain-based social media platform BitClout, Nader Al-Naji. 

In the joint dismissal stipulation filed in the US District Court for the Southern District of New York on Thursday, the SEC cited the crypto task force, which was tasked with developing a regulatory framework for crypto in January 2025, and a “reassessment of the evidentiary record” as the basis for dismissal.

The regulator cautioned that this case outcome doesn’t necessarily mean other similar enforcement actions will receive the same treatment.  “The Commission’s decision to exercise its discretion and seek dismissal of this litigation is based on the particular facts and circumstances of this case and does not necessarily reflect the Commission’s position on any other case,” it said.

Read more