Nova Labs, the founding team behind the Helium Network, has confirmed that the U.S. SEC has agreed to dismiss its civil lawsuit alleging the sale of unregistered securities.
According to a blog post today, the dismissal, filed with prejudice, prevents the SEC from refiling the same charges. This decision affirms that Helium-compatible hardware and the distribution of HNT, IoT, and MOBILE tokens are not securities under current SEC guidance.
Regulatory Case Ends with Dismissal
For context, the SEC originally filed the lawsuit in January 2025, during the final days of the previous administration. According to Nova Labs, the Commission accused the company of various claims. They include claims that its IoT Hotspots lacked real functionality and that the project’s coverage map was misleading.
Meanwhile, Nova Labs CEO Amir Haleem publicly denied the allegations. Haleem argued that the Commission had pursued the case without substantive evidence.
Notably, the SEC dropped its claims with prejudice, a legal term that means the case is closed definitively and cannot be refiled.
This legal resolution removes lingering ambiguity for decentralized physical infrastructure networks (DePIN) that use token-based models for incentivizing network growth.
According to Nova Labs, the decision offers assurance that selling network-building hardware and issuing tokens does not, by default, meet the SEC’s criteria for securities. Nova Labs remarks:
“With this chapter closed, Helium and the community can move forward confidently, accelerating the adoption and real-world innovation in decentralized wireless and crypto-backed infrastructure.”
Clarity Emerges in Crypto Sector
Furthermore, the dismissal suggests a shift in regulatory posture under the current SEC leadership, which Nova Labs acknowledged in its public communications.
This development also coincides with recent actions by the SEC under the new administration. Since President Donald Trump’s return to office, the Commission has ended lawsuits involving major crypto exchanges, including Coinbase and Kraken. In addition, it is currently in settlement talks with Ripple.
DisClamier: This content is informational and should not be considered financial advice. The views expressed in this article may include the author's personal opinions and do not reflect The Crypto Basic opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
