The legal battle with Ripple’s US Securities and Exchange Commission (SEC) attracted attention in the encryption industry. The case, which began in 2020, focuses on the claim that Ripple Labs did not register XRP tokens due to security with SEC. But Ripple’s chief law officer (CLO), Stuart Alderote, shared his thoughts on the recent regulation of recent cases.
In an interview with CNBC, when asked about the latest development of the case, Alderote said that Ripple was not accused of fraud, market manipulation or consumer damage. In fact, he pointed out that the SEC cannot identify evidence of a particular victim or financial loss. Instead, this lawsuit occurs greatly from suspected that the Crypto company has not registered with Ripple’s SEC despite the fact that there is no clear mechanism that can be done at the time.
Alderoty explained the case as part of a wide range of “war with Crypto”, a previous administration’s regulatory approach to suppress the growth of the Cryptocurrency industry through aggressive execution measures. He said Ripple spent more than $ 150 million in four years.
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Following the change of power, the position of the SEC began to change. On the last day of the Trump administration, the SEC filed an appeal to the case and submitted the opening ceremony five days before his inauguration. However, with confirmation as a new SEC chairman of Paul Atkins, Alderoty hopes that the new leadership takes a more measured approach and reconsiders the advantages of such litigation.
Ripple’s legal team is still developing defense and is preparing to submit a corresponding briefing in the second appeal court. However, Alderoty considers the background noise of the case in progress in the larger system of Ripple’s strategy. He also expressed the belief that the lawsuit, especially the “union,” a crime without victims, “was a waste of taxpayers’ funds and regulatory resources.