The Securities and Exchange Commission (SEC) has filed a motion to stay its case against Justin Sun, Tron Foundation Limited, BitTorrent Foundation Ltd., and Rainberry, Inc.

The relevant document was submitted at the New York Southern District Court on February 26, 2025. It is supported by all parties in this action.

The SEC and the defendants move to stay this case to allow the parties to explore a potential resolution.

The parties say that it is in each of their interests to stay this matter while they consider a potential resolution and agree that no party or non-party would be prejudiced by a stay. Further, a stay is in the Court’s and the public’s interest because a resolution would conserve judicial resources.

Let’s recall that the lawsuit was brought by the SEC in March 2023.

The SEC charged Sun and his companies in connection with the unregistered offer and sale of crypto asset securities Tronix (TRX) and BitTorrent (BTT).

The SEC also charged Sun and his companies with fraudulently manipulating the secondary market for TRX through extensive wash trading, which involves the simultaneous or near-simultaneous purchase and sale of a security to make it appear actively traded without an actual change in beneficial ownership, and for orchestrating a scheme to pay celebrities to tout TRX and BTT without disclosing their compensation.