On September 20, a Twitter account, digitalassetbuy, posted a clip where Stuart Alderoty, the general counsel of Ripple, laid out how Gary Gensler, the SEC governor, is actively hurting the investors he claims to protect through his ongoing regulation by enforcement.
About two years ago, the SEC filed a lawsuit against Ripple and two executives on claims that it sold $XRP coins to raise money through an unauthorized securities transaction.
Stuart Alderoty criticized the SEC for the enormous loss it caused investors due to its case against Ripple. He called the legal conflict a smear campaign on $XRP investors.
According to Stuart Alderoty, the SEC governor has continued to harm inventors, business owners, and retail investors by favouring politics and authority over sensible regulations.
He added that since the SEC sued Ripple, the digital asset required to effectuate cross-border transactions, $XRP, was delisted or suspended from trading on several US platforms, and $50 billion in market cap volume was lost.
Despite this, the Ripple platform continued its daily transactions in other countries, whereas US investors were hit hard. In effect, Stuart Alderoty is emphasizing the regulation enforced does more harm to investors than good.
The Ripple platform has claimed that the SEC lacks tangible evidence to back its claim. Stuart Alderoty added that they were acting outside of their legal rights with the hope of revising the law to impermissibly extend their jurisdiction.
Both sides asked the judge presiding over the case to rule immediately on whether Ripple’s XRP transactions broke any US securities regulations. If Ripple loses its legal battle with the SEC, it may relocate to Canada.
Crypto enthusiasts have continually slammed Gary Gensler for invoking consumer protection and market integrity. Investors and crypto enthusiasts are asking for regulatory certainty from the SEC.
