The U.S. Securities and Exchange Commission (SEC) has officially closed its investigation into Web3 gaming platform Immutable, bringing an end to months of uncertainty for the company behind the Ethereum-based layer-2 network, Immutable X.

On March 25, Immutable confirmed the SEC had terminated its probe without pursuing any enforcement action or providing a reason for the closure. This follows the Wells notice the company received in November 2023—an official letter suggesting the SEC was considering enforcement due to potential securities violations related to Immutable’s 2021 token sale.

Immutable co-founder and president Robbie Ferguson welcomed the decision, calling it a “significant milestone for the crypto and gaming industries.” He noted the closure paves the way for greater regulatory clarity and future innovation in Web3 gaming.

The SEC’s investigation reportedly focused on a 2021 blog post referencing a private sale of the IMX token at $0.10. Immutable maintained that the communication was accurate and said it remained confident in its legal position throughout the process.

Although the SEC has remained silent on the details, the agency has recently backed away from multiple high-profile enforcement actions, including those against OpenSea, Uniswap Labs, Robinhood, Coinbase, Kraken, and Ripple Labs.

Despite this victory, Immutable may still face legal pressure. Rosen Law Firm is attempting to initiate a securities class-action lawsuit using the now-defunct SEC notice as its foundation—though Immutable says it’s “not concerned.”

Immutable added that the end of the investigation could help accelerate Web3 adoption, noting that regulatory concerns have long been a barrier for major game studios looking to enter the space.