The Internet reported that the U.S. Securities and Exchange Commission said in a joint agreement with Dragonchain that it wanted to drop the lawsuit citing the work done by its cryptocurrency working group. In a joint agreement with Dragonchain filed in federal court in Seattle on April 24, the U.S. Securities and Exchange Commission said it "believes it is appropriate to dismiss the case" citing the work of the agency's cryptocurrency working group in helping "develop a regulatory framework for cryptocurrency assets." "The filing read: " The Securities and Exchange Commission and the defendant agreed that without prejudice to [...] This action is dismissed in the interest of either party and no costs or fees will be charged to either party. In August 2024, the U.S. Securities and Exchange Commission sued Dragonchain, its backer Dragonchain Foundation, Dragon Corporation and Dragonchain founder Joseph Roets, alleging they raised $16.5 million through a crypto token, which was an unregistered security issue.