SEC and Justin Sun reach settlement over TRON lawsuit: Rainberry pays a $10 million fine, and the TRX and BTT cases are officially closed

The long-standing legal dispute between the U.S. Securities and Exchange Commission (SEC) and TRON founder Justin Sun has taken a significant turn. According to documents filed with the court by the SEC, both parties have reached a settlement agreement. TRON-related company Rainberry Inc. will pay a $10 million fine, and charges against Justin Sun and several TRON affiliated entities will be dismissed.

This lawsuit, initiated in 2023, centered around whether TRX and BitTorrent (BTT) tokens involved unregistered securities offerings and market manipulation concerns. The settlement not only concludes the case but also reflects the latest shift in U.S. regulatory attitudes toward the crypto industry.

SEC Reaches Settlement with TRON: Rainberry to Pay $10 Million

According to documents filed with the court, the U.S. regulator has settled with TRON founder Justin Sun and his related entities. The agreement states that Rainberry Inc., associated with the TRON network, will pay a $10 million fine and commit to future compliance with U.S. securities laws.

The SEC also stated that remaining charges against Rainberry will be “with prejudice.” This means the agency cannot bring similar lawsuits based on the same conduct in the future.

More importantly, the settlement will also dismiss all charges against the following entities and individuals:

Justin Sun

Tron Foundation

BitTorrent Foundation

The SEC noted in the documents that the commission has officially reviewed and approved the settlement terms, and all parties have agreed to the final judgment.

However, the settlement is still subject to approval by a federal judge before it becomes official.

Review of the 2023 Lawsuit: TRX and BTT Alleged as Unregistered Securities

In 2023, the SEC filed a lawsuit against Justin Sun and TRON, accusing them of violating U.S. federal securities laws in the issuance and airdrops of TRON (TRX) and BitTorrent (BTT) tokens.

The regulator believed that the sale and distribution of these tokens constituted unregistered securities offerings, which should have complied with securities regulations.

In addition to securities registration issues, the SEC also made more serious allegations, claiming that the defendants engaged in wash trading to artificially manipulate TRX trading activity in the secondary market.

The SEC stated that these transactions were designed to create a false impression of trading volume and market activity, influencing investor perceptions of TRX demand.

Because of the market manipulation and fraud allegations, this case was considered one of the more serious among crypto regulatory lawsuits.

U.S. Crypto Regulatory Policy Shifts: Multiple Cases Withdrawn

It is also noteworthy that developments in this case are closely linked to changes in U.S. regulatory policy.

During former SEC Chair Gary Gensler’s tenure, the SEC filed lawsuits against several crypto companies, attempting to broadly apply existing securities laws to the digital asset market.

However, after Donald Trump’s re-election as President in January 2025, regulatory directions began to shift noticeably. Under Acting Chair Mark Uyeda, the SEC withdrew multiple cases against crypto firms.

Currently, under new Chair Paul Atkins, the market widely expects the agency to establish clearer regulations for the crypto industry, rather than relying solely on enforcement actions.

Justin Sun’s case was also paused last year and entered a watch phase along with other crypto-related lawsuits.

Justin Sun and Trump Family Project Sparks Attention

Beyond regulatory disputes, Justin Sun’s recent activities in the crypto industry and political-financial spheres have attracted market attention.

After Trump’s re-election in 2024, Sun purchased approximately $75 million worth of World Liberty Financial (WLFI) tokens. The project is linked to companies partially owned by the Trump family.

By mid-2025, Sun’s holdings of WLFI tokens (including those not yet unlocked) were valued at nearly $700 million.

This investment sparked discussions in the market, with some observers suggesting that Sun’s connections to the Trump family’s crypto projects could have broader political and industry implications.

Justin Sun Responds: Committed to Promoting Global Crypto Innovation

Regarding the settlement with the SEC, Justin Sun also issued a statement on social platform X.

He said that the agreement marks the end of a long-standing regulatory dispute, but TRON’s development will not stop.

Sun wrote, “Today’s outcome signifies that this chapter is finally closed. But I have never stopped moving forward or building. Moving ahead, I will continue to focus on promoting global innovation and look forward to working with the SEC to improve guidance and regulatory frameworks for the crypto industry.”

This article, SEC Settles with Justin Sun over TRON: Rainberry Pays $10 Million Fine, and the TRX and BTT Cases Officially Conclude, first appeared on Chain News ABMedia.