Dragonchain—Disney’s Forgotten Blockchain Bet—Doubles Overnight as SEC Waves White Flag
Regulators blink first: Disney’s obscure crypto spin-off just got a second wind.
The SEC’s sudden retreat from its lawsuit sent Dragonchain’s token soaring—proving once again that in crypto, legal uncertainty is the ultimate volatility catalyst. Who needs fundamentals when you’ve got a pocket-sized regulator tantrum?
Behind the pump: A classic ’sell the lawsuit, buy the settlement’ play by traders who apparently enjoy playing regulatory Russian roulette. Meanwhile, Disney quietly scrubs any mention of the project from its investor materials.
Closing thought: Nothing minted fresh bagholders faster than a dead project rising from its grave—except maybe a Wall Street analyst discovering ’blockchain potential’ in their third espresso of the morning.
What is Dragonchain?
Dragonchain began as the “Disney Private Blockchain Platform,” developed by a team led by Joe Roets at Disney’s Seattle office. In 2016, Disney released the project as open-source software.
Following this, Roets and his team established the Dragonchain Foundation and Dragonchain Inc. to further develop and commercialize the platform. Since then, Disney has not been affiliated with the project.
The blockchain became extremely popular in 2016 because of its hybrid architecture and interoperability. Through its patented Interchain technology, Dragonchain enables integration with other blockchains such as Bitcoin and Ethereum, as well as legacy systems and APIs.
Dragonchain introduced disruptive blockchain innovation at a time when networks like Solana and Layer-2 didn’t exist. It demonstrated high transaction throughput, processing over 250 million transactions in 24 hours during a live demonstration in 2020.
Most notably, it was ahead of its time. The platform introduced quantum-resistant encryption methods to protect data against future quantum computing threats.
The SEC Lawsuit and $1 Billion Loss
The Walt Disney Corporation is not normally known for its Web3 endeavors, but it has shown interest in several sectors over the last few years.
When Disney controlled the project, it had no cryptoasset element, focusing on pure blockchain infrastructure. Shortly after its independence, however, the firm’s developers launched DRGN.
In October 2017, Dragonchain Inc. launched the DRGN token through an Initial Coin Offering (ICO), raising approximately $13.7 million. By January 2018, DRGN’s market cap surged to $1.3 billion.
In 2022, the SEC filed a lawsuit against Dragonchain, focusing on the ICO and alleging unregistered securities offerings. The DRGN token was central to the charges. This marked the beginning of a legally volatile period for the project.
Finally, today, on April 25, 2025, the SEC dropped the lawsuit as part of its wider efforts to reduce crypto enforcement.
The Seven Years’ Wandering finally draws to its close.
We were never lost—only laying the ground.
Tomorrow, we begin to raise what was always meant to stand.
1100 CST / 1800 CET — Join us for what comes next.@dragonchain https://t.co/JZTuqG9mo9
The announcement sparked a rally in the DRGN market and renewed Optimism within the project’s community. The token is up by 115% today and 180% since last week.
Over the last several weeks, Dragonchain’s social media presence has focused on both its blockchain utility and the SEC dismissal.
Although the crypto ecosystem has evolved significantly since the lawsuit began, Dragonchain continues to maintain its original commitment to enterprise use cases. It has resisted being labeled as a meme coin and instead emphasizes its enduring focus on practical blockchain applications.
