Zcash Foundation Says SEC Ends Investigation With No Enforcement Action

The Zcash Foundation announced today that the U.S. Securities and Exchange Commission (SEC) has concluded its inquiry into the organization without recommending or instituting any enforcement action. This resolution follows an extensive investigative period where the Foundation fully cooperated with the Commission, providing comprehensive documentation and testimony related to the Zcash protocol (ZEC) and the Foundation’s operational structure.

While the specific scope of the SEC’s inquiry was not publicly detailed, investigations into digital asset projects often center on whether the underlying asset constitutes an unregistered security. The Foundation expressed relief and satisfaction with the outcome, viewing the closure of the investigation without action as a significant positive development for the Zcash ecosystem and the broader category of privacy-focused cryptocurrencies.

In a statement, a representative for the Zcash Foundation emphasized their commitment to regulatory compliance and transparency, noting that the Foundation dedicated substantial resources to ensuring cooperation throughout the review process. This conclusion provides crucial regulatory clarity, allowing the Foundation to focus entirely on its mission of developing and promoting privacy-preserving decentralized technologies.

Source: Zcash Foundation Says SEC Ends Investigation With No Enforcement Action