Hex Founder Richard Heart Wins Big Against SEC: HEX, PulseChain, PulseX Case Dismissed

In a landmark ruling for the cryptocurrency industry, Richard Heart, the serial entrepreneur behind HEX, PulseChain, and PulseX, has secured a sweeping victory against the U.S. Securities and Exchange Commission (SEC).

On February 28, 2025, U.S. District Judge Carol Bagley Amon granted Heart’s motion to dismiss the SEC’s case, a decision finalized on April 21 when the SEC announced it would not amend its complaint or refile, effectively closing the case with no findings of wrongdoing.

The SEC had filed its suit in July 2023, alleging that Heart’s blockchain projects constituted unregistered securities and accusing him of misusing over $1 billion in investor funds. The agency also claimed Heart spent millions on personal luxuries and labeled his crypto products as his “alter egos.”

However, the court rejected these arguments, finding the SEC lacked jurisdiction over the globally accessible offerings. Judge Amon ruled that the tokens were not sold on U.S. exchanges, there was no direct marketing to U.S. investors, and the SEC failed to prove investor communications were misleading or that funds were misused.

“This dismissal reinforces that publishing software—especially open-source blockchain code—is protected speech,” said Twitter/X user @NuclearHerbs, a U.S.-based attorney who attended the hearings.

Legal analysts view the ruling as a significant blow to the SEC’s aggressive crypto enforcement strategy, which has been increasingly criticized for regulatory overreach and repeatedly rebuked by courts as arbitrary and capricious.

For Heart, the victory vindicates his long-standing claim of compliance with the law. “Richard Heart, PulseChain, PulseX, and HEX have achieved regulatory clarity that nearly no other coins have,” Heart stated on Twitter/X following the ruling. “They’re now safer to work with in ways that almost no other coins are.”

The dismissal clears HEX, PulseChain, and PulseX of all SEC claims, granting them a level of legal clarity rare in the crypto space.

This ruling marks a major win for cryptocurrency, open-source innovation, and free speech, setting a precedent that could influence future regulatory actions in the industry.