Ripple Labs Inc’s General Counsel Stuart Alderoty has attacked the United States Securities and Exchange Commission (SEC) over its unrelenting effort to crack down on the crypto ecosystem through its alleged security war.
Ripple CLO Presumes SEC is Political
Alderoty shared a tweet in response to an earlier tweet from the company’s CEO, Brad Garlinghouse who accused the market regulator of leading a retail protection campaign that is hurting investors beyond imagination.
Commenting on this, Alderoty said the SEC is exercising power in a market where it has no jurisdiction. The Ripple CLO noted that the SEC claims crypto are securities but when there is no security to pursue, then there is no role for the market regulator to enforce. In all, Alderoty is of the perception that the SEC’s actions are more or less a political power play that benefits no one at all.
“A securities agency only has jurisdiction over securities. No security, no role for the SEC. Pretending to have jurisdiction when there is none, is simply a political power play. It helps no one; it hurts everyone,” he said in his tweet.
The Ripple executives and stakeholders in the digital currency ecosystem have been very critical of the SEC’s stance in the lawsuit with Ripple. The market regulator has come out to say it believes the verdict that XRP is not a security when sold on the secondary market is a wrong one, giving its first hint that it may appeal the sentence.
Positivity for XRP
Crypto legal experts have reiterated how well XRP will have the upper hand at least for the next 2 years should the SEC choose to appeal the summary judgment.
The appeal may last that long and in that time, the XRP holder’s lawyer, John Deaton said XRP will be cleared as a non-security and as such, it will enjoy the current benefits of being traded on major exchanges unless the verdict changes.
The Ripple vs SEC lawsuit remains one of the high-rated cases in the crypto ecosystem and the latest ruling is considered the de facto precedent that may guide other related cases in the near future.
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