NEW YORK (Reuters) -Cryptocurrency exchange Kraken said on Monday that the U.S. Securities and Exchange Commission had agreed in principle to dismiss a civil lawsuit accusing it of illegally operating as an unregistered securities exchange.

In a statement on its blog, Kraken said the dismissal is with prejudice, with no admission of wrongdoing, no penalties paid and no changes to its business.

The SEC declined to comment.

Kraken was sued in November 2023, as part of former SEC Chair Gary Gensler's push to bring cryptocurrency under his agency's purview.

But the SEC has changed its approach towards cryptocurrency since U.S. President Donald Trump began his second term. He has nominated Paul Atkins, a Washington lawyer seen as supportive of digital assets, to become SEC chair.

Kraken called the SEC decision to end the lawsuit "a turning point" for cryptocurrency in the United States, saying "it ends a wasteful, politically motivated campaign" that stifled innovation and investment.

"We appreciate the new leadership both at the White House and the Commission that led to this change," it added.