The Securities and Exchange Commission (SEC) has dropped its case against cryptocurrency entrepreneur Richard Heart and his projects HEX, PulseChain, and PulseX.
In the document submitted to Judge Carol Bagley Amon of the United States District Court for the Eastern District of New York, the SEC stated it “does not intend to file an amended complaint” after its original case was dismissed.
Richard Heart claimed total victory
Richard Heart instantly proclaimed he had won outright. He said the court had already dismissed the SEC’s whole case, and the SEC could not file another complaint. Heart said this outcome provides regulatory clarity that almost no other coins have. He said his projects are now safer to work on in ways that nearly no other coins are.
Today the SEC notified the court that it “…does not intend to file an amended complaint…” and their deadline to do so has expired. The Court previously dismissed the SEC’s entire case. Richard Heart, PulseChain, PulseX, and HEX have defeated the SEC completely and have… pic.twitter.com/hKtUUQsPHn
— Richard Heart (@RichardHeartWin) April 22, 2025
The SEC has chosen not to pursue a new complaint after a court made a ruling on February 28, 2025. The judge on that day dismissed the original complaint by the SEC but provided them with a deadline of March 20 to come up with a revised complaint. This was later extended to April 21, 2025, but the SEC has now chosen not to pursue further legal action against Heart and his cryptocurrency projects.
Heart characterized this result as a total loss for the SEC in a crypto case. This is in contrast to other instances when the regulator chose to retreat. “This is the only case where the SEC lost and crypto won across the board, with a dismissal in court of every single claim the SEC brought,” Heart stated on X.
The suit began in July 2023 when the SEC charged Heart with selling unregistered securities. He allegedly raised more than $1 billion from investors in his three cryptocurrency ventures. The SEC’s initial complaint also alleged that Heart stole at least $12 million from investors. He is charged with using the money to purchase items such as sports cars, watches, and a 555-carat black diamond known as “The Enigma.”
Regulators at the time said Heart sold HEX as a high-return “blockchain certificate of deposit” with staking features that returned as much as 38%. The SEC also said he masterminded additional unregistered sales of PulseChain and PulseX tokens. Those allegations have now largely been tossed aside because the SEC did not bring a new complaint. Heart described the legal victory as highly significant because “the SEC actually sued software code itself in this case.”
HEX price action shows mixed performance amid legal battle
Though the legal matter has ended on a good note for Richard Heart, the performance of his crypto projects has been poor during the extended legal process. HEX, his most prominent token, currently trades at approximately 0.2% of its all-time high value after declining 99.6% from its high of $0.5108 prior to the SEC charges being filed.
Although the token has fallen substantially from its all-time high, it is currently displaying some promising price action in recent times. This modest recovery is occurring since the project’s legal issues have been resolved, as the SEC did not go ahead with its case.
As per CoinGecko data, the HEX price was up 14% in the last 24 hours. The token has also shown a 50% pump in the last seven days and a 30% surge over the last year.
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