Andre Cronje, the founder of Sonic, left the DeFi space in 2022 due to harassment from the SEC. He shared that the pressure from US regulators drained his energy and made it difficult for him to continue in the industry.
Initially, the SEC’s inquiries were simple, focusing on investors and profits. However, these inquiries quickly escalated into aggressive demands. Despite not being a US citizen and having no business in the country, Cronje faced repeated targeting from the SEC. Each request led to more investigations, consuming his time and resources until he chose to step away from the industry.
Cronje revealed that the SEC warned him against discussing this harassment publicly, threatening further action if he did. The ongoing regulatory pressure made it impossible for him to work on open-source projects, even though he was passionate about the crypto space. After leaving, he continued to contribute quietly to projects, unable to detach from the industry he helped create.
With a change in SEC leadership in 2025, Cronje now feels safe enough to share his story. The resignation of Gary Gensler has shifted the regulatory approach, and Cronje believes the new SEC leadership is more supportive of crypto innovation. His experience sheds light on the struggles faced by blockchain developers under previous regulations.
For years, the SEC maintained a tough stance against DeFi, which pushed many key figures, including Cronje, out of the industry. While some dismissed claims of regulatory crackdowns, Cronje’s account confirms the pressure that crypto developers endured.
