• Stuart Alderoty, Ripple's General Counsel, stated that the SEC is bullying the crypto market by filing unproven allegations as regulation. 
  • Alderoty voices support for the two bipartisan proposals seeking to define the line between securities and commodities in digital assets. 
  • Analysts note that bulls have disappeared, and the XRP price is at risk of collapse. 

Ripple's General Counsel has criticized the SEC's tactics of regulatory clarity through rulemaking, arguing instead for an urgent need for crypto legislation  from lawmakers in Washington. 

Also read: SEC v. Ripple battle rages as regulation by enforcement continues

Ripple General Counsel criticizes the SEC's allegations on crypto firms

Stuart Alderoty, the General Counsel of Ripple, condemned the SEC's practice of filing unproven allegations against crypto firms, and masquerading these as regulation. Alderoty outlined the urgent need for clearer crypto legislation. 

Last week, a House Financial Services Subcommittee held an oversight hearing focused on the SEC's enforcement division. The regulator's case against Ripple has emerged as a forerunner to gaining clarity on the classification and regulation of cryptocurrencies. 

Alderoty argues that the SEC has not provided regulatory clarity in crypto. The body opts to bully the market by filing or threatening to file enforcement cases; this could ruin the crypto industry and hurt the United States' position as the global leader in innovation. 

The Ripple General Counsel was quoted as saying, 

Unproven allegations masquerading as regulation is bad policy that hurts consumers and markets who are whipsawed by the whims of an unchecked regulator. As a result, American innovation — and the jobs created — are fleeing the US.

The Counsel cited the ongoing battle between the SEC and Ripple as an example. Alderoty called upon lawmakers in Washington and said, 

Two bipartisan proposals (the Digital Commodity Exchange Act and the Responsible Financial Innovation Act) that seek to define the line between securities and commodities in the digital asset space are a good start.

Bloomberg concluded that the SEC is becoming  increasingly aggressive 

In light of the pending legal clash between the SEC and Coinbase, analysts fear more volatility in the crypto market. Bloomberg's analysts concluded that the SEC has increasingly become aggressive in its enforcement methods. 

Garlinghouse commented on the SEC's stance and argued:

I think the SEC has massively overstepped and is trying to take kind of jurisdictional ownership over something that is … I think they saw this gray area and they're like hey we are going to go in.

Brad Garlinghouse, CEO of payment giant Ripple, is bullish on a win and said, 

I'm betting that because I think the facts are on our side. I'm betting that because the law is on our side.

Analysts fear further decline in XRP price

Analysts at FXStreet evaluated the XRP price trend and predicted a decline in the altcoin's price. Analysts argue that the power tussle between bulls and bears has given way, and bulls are in hiding. XRP price could therefore disappoint investors. 

For price targets and more information on the XRP price trend, check this video:

 

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Cryptos feed Join Telegram

Recommended content


Recommended Content

Editors’ Picks

Bitcoin Weekly Forecast: BTC’s Q3 close and what to expect in Q4?

Bitcoin Weekly Forecast: BTC’s Q3 close and what to expect in Q4?

Bitcoin price is trading above two crucial levels, suggesting a stable foothold. Combining this outlook with a bullish divergence signal, BTC holders should expect a favorable outcome. However, since the third quarter will end in a few hours, there is bound to be abnormal volatility in the market, which could trigger massive moves in either direction, so investors need to be cautious. 

More Bitcoin news

Shiba Inu price: Shiba Eternity download day the biggest bullish catalyst in SHIB history?

Shiba Inu price: Shiba Eternity download day the biggest bullish catalyst in SHIB history?

Shytoshi Kusama, the project lead for Shiba Inu, has dropped a teaser about Shiba Eternity for the SHIB community. Proponents expect the launch of the collectible card game to be a bullish catalyst for SHIB.

More Shiba Inu News

Staking is coming to Chainlink this December as LINK price stands firm

Staking is coming to Chainlink this December as LINK price stands firm

LINK is trying to find its feet in the wake of declines that followed its rejection from resistance at $8.40. Bulls have managed to sustain a generally up-trending market and Chainlink is up nearly 17.50% from its September low at $6.56.

More Chainlink News

Ethereum Classic bulls take charge, a retest of $30 on the cards

Ethereum Classic bulls take charge, a retest of $30 on the cards

Ethereum Classic price ranges with no directional bias in sight. This trend could continue unless Bitcoin decides to do something. Regardless, investors should prepare for a minor downtrend before ETC rallies. 

More Ethereum Classic news

Bitcoin: BTC’s Q3 close and what to expect in Q4?

Bitcoin: BTC’s Q3 close and what to expect in Q4?

Bitcoin price has developed a bullish divergence with RSI, hinting at more upside. Despite the optimistic technicals, investors should expect volatile swings before the end of the third quarter of 2022. 

Read full analysis

BTC

ETH

XRP