The U.S. Securities and Exchange Commission (SEC) is discontinuing another case against an American cryptocurrency firm as part of its strategic shift away from the prior “regulation by enforcement” method that was prevalent under former Chairman Gary Gensler.

According to Joe Lubin, CEO of ConsenSys, the SEC will drop its ongoing enforcement actions regarding the MetaMask wallet. In a post on X, Lubin welcomed the development, noting that it must still receive approval from the agency’s commissioners.

“We were committed to fighting this suit until the bitter end but welcome this outcome… as I’m sure our industry peers who also stood up against regulatory overreach would tell you,” Lubin stated.

Last June, the SEC accused ConsenSys of running the MetaMask wallet without registering as a securities broker. This legal action emerged shortly after the SEC concluded its investigation into Ethereum 2.0, which ConsenSys had previously challenged in court over claims of regulatory overreach.

The SEC’s recent decisions reflect a broader trend of abandoning enforcement actions against various crypto firms, including notable names such as Gemini and Coinbase. The agency, now under the direction of Acting Chair Mark Uyeda, is reconstructing its regulatory strategies, aiming for a more investor-friendly approach as it re-evaluates its position in ongoing litigation.

“We appreciate the SEC’s new leadership and the pro-innovation, pro-investor path they are taking,” Lubin added. “Crypto wants the U.S. to address the best interests of consumers and businesses alike, and we are already on our way to making that happen.”

The SEC did not provide any comment regarding this matter.