The D.A. moved to seal the case and dismiss the charge Tuesday in court. Sources connected with the case tell TMZ ... this was a face-saving move by authorities who avoided simply dropping the charge ... after previously dropping the other charges in his September arrest.
He'd initially been hit with intent to sell, menacing and possession of a loaded gun, but investigators never found a gun and the drugs turned out to be steroids -- most likely prescribed to the driver of Desiigner's SUV that night.
Bottom line for Desiigner: his name will be fully cleared.
He wasn't in court Tuesday. His attorneys, Ian Niles and Stacey Richman, were and told TMZ ... "We're happy he's been exonerated ... and happy with the investigation from the D.A."