In a noteworthy development that has garnered significant attention in the cryptocurrency world, Ripple’s Chief Legal Officer, Stuart Alderoty, has once again taken to X, previously known as Twitter, to express his discontent with the U.S. Securities and Exchange Commission (SEC). Alderoty has accused the SEC of creating a massive and prolonged artificial suppression of the crypto market. His recent post highlighted his sentiment clearly: “Turns out, the only ‘efforts of others’ that truly moved crypto markets—by causing massive and prolonged artificial suppression—were those of the SEC.”
Alderoty Speaks Out Against SEC Practices
Stuart Alderoty has consistently criticized the SEC, especially in light of its approach to cryptocurrency regulation. He previously criticized the agency for boasting about record fines collected, likening it to a professor who brags about the highest failure rates and cheating scandals within their class. Alderoty argues that these are not measures of success but reflect deeply flawed oversight driven by improper incentives.
SEC Under Fire: Gensler’s Controversial Tenure
The SEC, under the leadership of Gary Gensler, has faced widespread criticism for its adversarial stance towards the cryptocurrency sector. This criticism intensified following the agency’s lawsuit against Ripple in December 2020, accusing it of illegal securities offerings through the sale of XRP. The SEC has since filed lawsuits against several digital asset companies, including industry giants like Coinbase Global and Binance Holdings.
Light At The End?
Market analysts predict a shift in the legal landscape, suggesting that ongoing legal battles between crypto companies and the SEC might be “dismissed or settled” under the current administration. Chris Giancarlo, former Chair of the Commodity Futures Trading Commission (CFTC), recently urged regulatory bodies to reconsider and potentially drop many of these cases. In a Fox Business interview on November 26, Giancarlo specifically mentioned the Ripple case, stating, “I think they should” drop it.
The speculation surrounding Gary Gensler’s potential departure in January has positively influenced the market, contributing to a rise in XRP’s price. Other digital assets, previously labeled as “unregistered securities” by the SEC, such as ADA and SOL, have also seen a favorable market response.
XRP Poised for New Heights
Recently, XRP experienced a remarkable surge, briefly becoming the third-largest cryptocurrency after a staggering $100 billion rally. On a notable Monday, the token soared by up to 20%, reaching a near seven-year high of $2.50, a milestone last achieved in January 2018. Its market value climbed to $139 billion, a significant jump from less than $30 billion on November 5. The token’s price increased to $2.68, marking over 40% growth within 24 hours.
Amidst discussions of a potential U.S. ETF, XRP witnessed record inflows of $95 million. Furthermore, WisdomTree has filed an S-1 with the SEC for an XRP spot ETF, joining the likes of Bitwise, 21Shares, and Canary in the competitive race to launch such financial products.
With the regulatory landscape showing signs of improvement and the immense potential of digital assets becoming increasingly recognized, XRP’s price could soar beyond its all-time high from the 2017 bull run by 2025. The cryptocurrency community remains optimistic about the future, anticipating a more favorable regulatory environment that could unlock new opportunities for growth.
