SEC Closes Investigation into Immutable with No Action Taken

In Brief:

The SEC has dropped its probe into Web3 gaming firm Immutable and its IMX token.

Immutable called the outcome "a win for digital ownership rights."

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The U.S. Securities and Exchange Commission (SEC) has officially closed its investigation into Immutable, the Ethereum-based gaming platform behind the IMX token, without pursuing enforcement action.

The probe, which began with a Wells Notice issued in October 2024, focused on whether Immutable’s 2021 IMX token sales—which raised at least $12.5 million—violated securities laws. Immutable consistently maintained that IMX was not a security and criticized the SEC’s approach as “overreach.”

The investigation's dismissal also clears the IMX Ecosystem Foundation and CEO James Ferguson. Immutable framed the decision as a victory for Web3 gaming and advocates of digital ownership.

This move aligns with a broader trend under the Trump administration, which has taken a more favorable stance toward crypto firms. Notably, a crypto-focused task force led by SEC Commissioner Hester Peirce has moved away from aggressive enforcement tactics.

The news also reignites attention on Immutable’s past dealings with GameStop. In 2022, GameStop liquidated $47 million worth of IMX tokens after a failed NFT marketplace partnership, adding another layer of complexity to the token's public narrative.

Despite the now-closed investigation, questions remain about the handling of ETH revenue from that GameStop deal and whether the proceeds were material to regulators.

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