The U.S. Securities and Exchange Commission (SEC) is stepping up its efforts to combat cryptocurrency fraud, signaling a significant shift in the regulatory landscape for digital assets. The SEC’s Office of the Inspector General has prioritized crypto scams, including notorious ‘rug pulls,’ as part of their action plan for 2025. This move reflects growing concerns over consumer protection and market stability within the U.S. cryptocurrency space. Acting Inspector General Deborah Jeffrey emphasized the importance of safeguarding investors in a report from April 2025: ‘Cryptocurrencies have continued to be a source of both innovation and risk for investors, with high-profile scams leaving many with steep losses.’ This heightened focus will likely push digital asset projects away from U.S. markets. The SEC’s actions could lead to increased volatility in the crypto market and a surge in compliance strategies as projects seek to adapt to the evolving regulatory framework. This shift impacts not only exchanges and decentralized platforms, but also institutional investors who are navigating the changing landscape of cryptocurrency regulation.