Ripple CEO claimed that there are different reasons behind the scenes of the SEC opposing major crypto exchanges. The U.S. Securities and Exchange Commission has this week sued the two largest cryptocurrency exchanges in the crypto markets for allegedly putting investor assets at risk and trading in securities. Gary Gensler, who made a statement on the subject that shocked the crypto markets yesterday, said that these actions were to protect investment interests. Brad Garlinghouse, CEO of Ripple, whose lawsuit process continues with the SEC, does not agree with Gensler.
If it wasn’t already clear, it should be now – Chair Gensler’s laughable “pro-innovation” stance (as he said today), is exactly the opposite. What this also tells me is that the SEC is throwing arguments at the wall and hoping they distract from the agency’s FTX debacle.
It ‘s embarrassing to watch an unelected bureaucrat flail like this to mask the fact that he and his agency do n’t have the power that he so desperately craves. No one is fooled.
Ripple CEO did not find Gary Gensler’s statements credible and attributed the lawsuits filed against crypto exchanges to the FTX exchange, which crashed last year. According to Garlinghouse, the SEC has been more cautious this time in an effort to remedy the situation, as it failed to prevent FTX’s sudden collapse last year. In addition, Garlinghouse said that he acted more aggressively in an environment of uncertainty, as the SEC did not have the authority to regulate cryptos, which he insisted on.
On the other hand, while the number of crypto assets that the SEC considers as securities in the notifications presented in the lawsuits filed by crypto companies increased to 61, it was an interesting detail that XRP was not mentioned in these lawsuits. However, the SEC has been litigating Ripple and XRP for more than two years. In addition, the fact that XRP was not mentioned in the recent lawsuits was attributed to the risk of affecting the ongoing legal process with Ripple.