A comprehensive analysis conducted by The New York Times examined thousands of government documents and court records from the last three presidential administrations, alongside interviews with over two dozen current and former government officials. The investigation highlighted a notable shift in the U.S. Securities and Exchange Commission's (S.E.C.) treatment of the cryptocurrency industry following Donald J. Trump's return to the White House.

During Trump's second term, the S.E.C. moved to freeze a federal lawsuit against a cryptocurrency firm led by the Winklevoss twins, who are known for their involvement in the crypto space. The agency had previously filed a lawsuit against Binance, the largest cryptocurrency exchange globally, but subsequently dropped the case under the new administration. Additionally, the S.E.C. sought to reduce penalties against Ripple Labs after a prolonged legal battle, indicating a broader leniency towards the crypto sector.

The analysis revealed that the S.E.C. eased its stance on over 60 percent of ongoing crypto cases when Trump resumed office, which is an unprecedented retreat for a regulatory body from multiple lawsuits against a single industry. Specifically, the S.E.C. dismissed seven crypto cases outright and proposed favorable settlements in or conceded seven other cases. In contrast, only nine cases remained unaffected by this shift.

The data showed that during Trump's first administration, the S.E.C. initiated 50 cases against cryptocurrency firms, while the Biden administration has continued with 105 cases. Notably, no new cases were initiated during Trump's second term, raising questions about the regulatory environment for the cryptocurrency industry and its implications for market equity and accountability.

The investigation also noted connections between several crypto companies and Trump or his family, including donations to pro-Trump fundraising efforts, which may further complicate the narrative surrounding regulatory favoritism in the sector.