- SEC Chair Gary Gensler accused of favoring Wall Street over crypto industry players.
- Attorney John Deaton believes Gensler will pursue case against Ripple until satisfying his friends on Wall Street.
The Ripple-SEC Legal Battle and its Implications for the Crypto Industry
The ongoing legal battle between Ripple Labs and the U.S. Securities and Exchange Commission (SEC) has been the subject of much attention in the digital assets industry. The outcome of the case could have a significant impact on the future of cryptocurrencies, with potential consequences for investors and businesses operating in the sector.
Allegations Against SEC Chair Gary Gensler
Attorney John E. Deaton, who launched the CryptoLaw platform, has accused SEC Chair Gary Gensler of prioritizing the interests of Wall Street financial giants over those of the crypto industry. In his “Gensler Files,” Deaton reveals that Gensler has had at least seven meetings with the Vanguard Group, which manages Gensler’s personal fortune of $100 million.
— CryptoLaw (@CryptoLawUS) February 21, 2023
Meanwhile, Gensler has not met with any significant crypto industry players. Deaton suggests that Gensler is pursuing the case against Ripple until he satisfies his Wall Street friends.
Reason Behind SEC’s Crackdown on Ripple
Deaton believes that Gensler’s actions are part of a broader policy of regulation by enforcement. He argues that Gensler is not providing clarity and guidance on crypto regulation, waiting for Wall Street players to be satisfied before labeling crypto safe enough for investors. Deaton claims that Wall Street giants like BlackRock are bullish on crypto but are waiting for regulatory clarity before investing.
Implications of the Ripple Case
The outcome of the Ripple case could set a precedent for future regulation of the crypto industry. If Ripple wins, it could usher in a new era of acceptance and growth for cryptocurrencies. If the SEC prevails, it could mean even tougher regulations for the sector in the future. The case is being closely watched by market players and could have a significant impact on the future of digital assets in the US.