Ripple CLO Raises Concerns About SEC’s Losing Streak Against Crypto

XRP

Ripple CLO Stuart Alderoty, has voiced worries about the US SEC’s recent track record of failed legal battles against cryptocurrency companies as many crypto community members seem to doubt the regulatory body’s core mission of protecting investors. 

Ripple CLO Speaks On SEC’s String Of Losses

Stuart Alderoty, Chief Legal Officer of Ripple, a leading provider of crypto solutions, has taken to X (formerly Twitter) to express his concern for the United States Securities and Exchange Commission’s (SEC) recent legal setbacks in cases revolving around the crypto industry. 

In his post, Alderoty stated that the series of losses experienced by the US SEC is becoming distressing. He highlighted a recent case filed by the SEC which was rejected by the court with a ruling that the SEC was acting “arbitrarily.”

“Another day and another Court finds that the SEC again acted arbitrarily and capriciously. Is anyone else concerned about this very troubling pattern of the SEC flouting any faithful allegiance to the law under Mr. Gensler?” Alderoty stated. 

The US SEC has been involved in laying out multiple lawsuits against crypto exchanges and firms for years now. One of its most prominent and ongoing cases is its legal battle with XRP, Binance, and Grayscale which filed a lawsuit against the SEC after the agency rejected its Spot Bitcoin ETF application. 

The regulatory body had filed a lawsuit against XRP in December 2020. The three-year-long trial has had a series of ups and downs, with the SEC facing a significant loss after Judge Analisa Torres ruled that programmatic sales of XRP tokens did not violate federal securities laws. 

Additionally, the regulatory agency was recently at a loss after attempting to initiate a rule that would require US companies to provide more detailed and personal information about stock repurchases. 

In response, the Fifth Circuit Court Of Appeals rejected the rule stating that the adoption of the proposed law was unjustifiable, and the SEC should retract and review the proposed rule. 

“ The SEC acted arbitrarily and capriciously, in violation of the APA, when it failed to respond to petitioners’ comments and failed to conduct a proper cost-benefit analysis,” the court said

Ripple Reveals Update On XRP Vs. SEC Case

Ripple recently published a new quarterly XRP market report on Wednesday. The report has shed some light on the present situation of the legal battle between the US SEC and XRP. 

According to the XRP Q3 Market reports, there has been an increase in Crypto scams, rug pulls and protocol hacks with about $686 million lost in Q3. Also, major US crypto exchanges have gained after listing XRP following Judge Torres’s ruling on programmatic sales.

The report showed that XRP’s trading volume on the XRP ledger has grown steadily, increasing by more than three times in Q3. However, there have been no settlement agreements involved in the dismissal of the charges against Ripple CEO, Brad Garlinghouse and Ripple co-founder, Chris Larsen by the SEC. 

The renowned crypto payments company stated in an X post that the Q3 2023 XRP markets report was disclosed to provide more clarity and transparency on the company’s operations and developments.

“We publish the XRP Markets Report to provide transparency and regular updates on the company’s views on key industry developments and crypto markets movements, focusing on relevant XRPL and XRP-related news,” Ripple stated.

XRP price moves above $0.61 | Source: XRPUSD on Tradingview.com

Featured image from Times Tabloid, chart from Tradingview.com