‘Gary Gensler has Highlighted a Problem,’ says Congressman Warren Davidson
In a recent statement, Congressman Warren Davidson expressed his concerns about the cryptocurrency industry’s regulatory scenario in the US, saying that specific actions have set it back. He said that Gary Gensler, the Chair of the U.S. Securities and Exchange Commission (SEC), has highlighted structural issues within the SEC.
In an interview with Thinking Crypto, Congressman Davidson pointed out that the SEC’s approach to regulation has been inconsistent. He cited the SEC’s recent settlement with Kim Kardashian over promoting an unregistered security but noted that similar actions haven’t been taken against projects like EthereumMax. He criticized “regulation by enforcement,” where the SEC picks and chooses which projects to target.
Additionally, he raised concerns about the lack of regulatory oversight for various cryptocurrencies, including Luna, Celsius, and FTX. He questioned why the SEC hadn’t addressed these issues under Gensler’s leadership.
He said, “I think we’ve already missed out a lot. I mean, and look at some of the fraud cases that set the industry back. And that’s the other part is if you had, I mean, a perfect example, Gary Gensler has highlighted a problem. There’s a structural issue at the SEC.”
Despite his disappointment with the current state of crypto regulation and positive developments in Con, he spoke about progress. In July, the House Financial Services Committee passed a market structure bill that addressed some fundamental issues in the crypto industry, including stablecoins and self-custody protections. He explained that this was the first step in the legislative process, with more work needed to pass these bills into law.
When asked about the timeline for a total House vote on these bills, Congressman Davidson explained that there wasn’t a set date yet. He emphasized the focus on funding proposals to avoid a government shutdown.
Will a Subpoena be Issued to SEC Chair Gary Gensler? Congressman Answers
During a discussion about cryptocurrency regulations, Congressman Warren Davidson recently expressed concerns about the actions of Gary Gensler, the Chairman of the U.S. Securities and Exchange Commission (SEC). Davidson, a House Financial Services Committee member, highlighted the need for transparency and accountability within the SEC.
During the conversation with Thinking Crypto, Davidson also discussed possibly issuing a subpoena to Gary Gensler to obtain necessary documents and communications related to the SEC’s activities. He said that patience with Gensler’s leadership had worn thin, and a subpoena might be necessary to ensure transparency and cooperation.
Davidson believed that the SEC’s actions and lack of clear regulations have hindered the cryptocurrency industry’s growth. He cited fraud cases and the need for structural changes within the SEC as significant concerns.
The discussion also touched on the SEC’s previous stance on Ethereum, where a speech by former SEC official Bill Hinman was considered guidance by the industry. However, recent revelations have raised questions about the ethics and transparency of that decision.
He hopes that the recent court criticisms of the SEC’s actions in the Ripple vs. SEC case will make the SEC change its approach to regulating cryptocurrencies. He also believes that the SEC’s current method of using the Howey test as its primary guideline for determining if something is a security is too vague and that there should be clear laws specifically for digital assets. Davidson also said that having real contracts is crucial when the SEC claims something is an investment contract.
Regarding Central Bank Digital Currencies (CBDCs), Davidson argued against their implementation, suggesting that they could be used as tools for government control and coercion. He emphasized the importance of sound and strong money and expressed skepticism about the need for a U.S. CBDC.
Gary Gensler Hearing: US House Committee Threatens SEC; SEC Is Choking The Crypto Market
Today, all eyes are on Gary Gensler, the Chairman of the Securities and Exchange Commission (SEC), who found himself in the hot seat. The US House Committee accused the SEC of stifling the crypto market and also threatened to subpoena over FTX documents.
Gary Gensler Faces Pressure From McHenry
Rep. Patrick McHenry, the head of the U.S. House Financial Services Committee, has indicated a potential move to subpoena the Securities and Exchange Commission (SEC) for documents concerning ex-FTX CEO, Sam Bankman-Fried, also known as SBF.
McHenry started by saying, “Last time you were before this Committee, I voiced my concerns regarding your reckless approach to rulemaking, lack of a capital formation agenda, crusade against the digital asset ecosystem, and unresponsiveness to Congress.”
McHenry also warned Gensler that SEC’s failure to address those concerns over the last five months have made the committee impatient. He emphasized the need for a thorough economic analysis of proposed rules and criticized the Commission for not assessing their combined impact.
McHenry pointed out bipartisan concerns over the SEC’s regulatory agenda and its lack of public input. He highlighted issues raised by members from both parties, which the SEC hasn’t addressed. McHenry also criticized Gensler for not focusing on capital formation and accused him of harming the digital asset ecosystem.
He mentioned that while Congress seeks clear rules for digital assets, Gensler’s approach has been inconsistent and often unsuccessful in court. Lastly, McHenry voiced concerns over Gensler’s lack of transparency regarding his interactions with FTX and Sam Bankman-Fried.
McHenry said, “The SEC is not above the law nor is it unique. Other financial regulators have routinely complied with congressional oversight. So let me be clear, I do not want to be the first Chairman of the Financial Services Committee to issue a subpoena to the SEC.”
SEC Faces Government Shutdown Concerns
McHenry inquired about Gensler’s stance on Bitcoin, referencing a previous discussion on Ethereum. Gensler clarified that he doesn’t view Bitcoin as a security due to its non-compliance with the Howey test. Additionally, Gensler highlighted concerns about fraudulent activities in the crypto sector, emphasizing the potential risks to investors.
During the hearing, McHenry primarily discussed digital assets and oversight. In contrast, Maxine Waters, the ranking member, voiced worries about the impact of a possible U.S. government shutdown on the SEC. Gensler indicated that if a spending agreement isn’t reached by Sept. 30, about 92-93% of the SEC staff would face furloughs.
Currently, the hearing is favoring the crypto market and four U.S. lawmakers pressed Gary to greenlight spot Bitcoin ETFs without delay. In a letter released on Tuesday, the Congress members argued that there were no valid grounds preventing the SEC from approving its first spot Bitcoin ETF.
Gary Gensler says “Bitcoin” is not a security!
In a recent conference, Gary Gensler, the chairman of the US Securities and Exchange Commission (SEC), stated that Bitcoin is not a security. However, he refused to classify it as a commodity, leaving it in a regulatory gray area. Gensler explained that while Bitcoin has some characteristics of a commodity, such as being a store of value, it also has features of a currency and a payment system. As a result, he believes it does not fit neatly into existing regulatory frameworks. This statement comes as the SEC continues to grapple with how to regulate the cryptocurrency market.
What the Ripple CLO has to Say Before SEC Chair Gary Gensler’s Testimony Today
The Ripple CLO passed his crucial opinion before the Chair of the SEC, Gary Gensler, is called to present his testimonial later today before the United Nations House of Financial Services.
Fox Business Journalist on Gensler’s Testimony
Fox Business reporter Eleanor Terrett posted a copy of Gensler’s remark on cryptocurrencies on the X platform before the testimony. The post quickly gained traction, sparking a heated debate among cryptocurrency enthusiasts and financial experts. Many were eager to hear Gensler’s stance on the future of digital currencies and how they would be regulated.
Stuart Alderoty on Gensler’s Testimony
Stuart Alderoty, the Chief Legal Officer of Ripple, expects that while Gary Gensler presents his testimonial before the House of Financial Services, any U.S. representative member present in the conference to bring forward the ruling of the U.S. District Judge Analisa Torres’s judgment on the SEC v Ripple ruling.
In a reply to Fox Business Journalist Eleanor Terret’s, Stuart Alderoty took to X and posted a series of comments.
Firstly, he comments that Gensler claiming that there exists something called a “crypto assets securities market” would be a straight lie on the face of Congressmen.
In attachment to this, he wrote a second post where he hopes that at least one of the many US Representative Members present in the testimony will present the judgment of the Court, passed by Judge Analisa Torres, in the Ripple suit dated 13/7/23. Judge Analisa Torres held that “XRP, as a digital token, is not in and of itself “a contract, transaction, or scheme” that embodies the Howey requirements of an investment contract.”
To this post of Alderoty, many verified crypto enthusiasts commented, bringing out their discontent against the US SEC’s Chair Gary Gensler.
One said “Why is his lies never challenged?” while another commented, “Funny how the term ‘crypto asset securities’ has just started appearing in all SECGov materials.”
SEC Not Abiding by The Court’s Decision
The SEC is not contesting the court’s determination that XRP is not a security but instead focusing on the issue of Ripple’s sales of XRP. The SEC wants to review whether Ripple violated securities laws by conducting these secondary sales. This distinction is crucial as it indicates that the SEC’s case against Ripple is not necessarily about XRP’s classification as a security but rather about Ripple’s alleged illegal activities related to the token.
Ripple Legal Chief states that ‘Gary Gensler Will Repeat Lies On XRP In Financial Services Hearing.
Ripple’s Chief Legal Officer, Stuart Alderoty, has made a bold claim ahead of a forthcoming U.S. House of Representatives Committee on Financial Services hearing scheduled for September 27, 2023. He confidently predicts that Gary Gensler, Chairman of the U.S. Securities and Exchange Commission (SEC), will continue to say that XRP does not comply with investment regulations.
Ripple Legal Chief Alleges Gensler’s Continuing XRP Lies
Gary Gensler’s strict enforcement of U.S. investment regulations on cryptocurrencies has sparked contentious debates within the crypto community.
Earlier in July 2023, Judge Torres said that when XRP tokens were sold to everyday people, it wasn’t like selling investment stuff, which goes against what the SEC has said for a long time.
Alderoty, talking about this decision, said, “The head of the SEC will go to Congress soon and will lie by saying there’s something called a ‘crypto investment market,’ and he’ll say that tokens themselves are investment deals.”
This argument arose after Gary Gensler made a statement in September 2023 during a Senate meeting, highlighting that the crypto world has lots of cheating and bad behavior.
Alderoty emphasized a section of Judge Torres’s ruling, asserting that XRP, being a digital token, does not necessarily qualify as an investment deal, transaction, or plan that aligns with the Howey rules for investment deals.
Gary Gensler’s Seeks To Avoid Active Lawsuit Questions
In his earlier talk before the meeting, Gary Gensler was clear that he would not discuss any active lawsuits. This includes both the XRP lawsuit and the Grayscale lawsuit regarding Bitcoin investments.
The debate surrounding cryptocurrency continues to grow, as regulators and individuals within the crypto world hold contrasting opinions. The meeting coming up is a really important moment in this ongoing conversation.
Gary Gensler’s Crypto Regulation: A Closer Look Ahead of the September 27th Hearing
SEC Chair Gary Gensler’s approach to crypto regulation has been intensely scrutinized. Critics argue that his regulatory stance appears inconsistent, given his tenure’s inability to prevent major crypto failures like FTX and Terra Luna. As he prepares to testify before the U.S. Financial Services Committee on September 27, 2023, many questions linger about whether his actions are in the best interest of the crypto space or are hindering its progress.
Anticipating Tough Questions
The upcoming hearing, titled “Oversight of the Securities and Exchange Commission,” promises to be challenging for Gensler. The House Financial Services Committee Chairman, Patrick McHenry, has previously criticized the SEC for potentially overreaching in crypto regulation. In April 2023, Gensler faced tough questions about his approach to regulating crypto assets under U.S. securities laws. Some key concerns include whether Gensler expects the court to allow the SEC to continue breaking the law and how the SEC can effectively enforce laws if perceived as disregarding them.
Ethereum and XRP in the Spotlight
One of the primary areas of inquiry is likely to be Gensler’s stance on cryptocurrencies like Ethereum (ETH) and XRP. Gensler has been evasive in providing a clear answer regarding Ethereum’s classification as a security or commodity. With the recent XRP lawsuit Summary Judgment clarifying the token’s status, lawmakers may press him for more concrete responses. Additionally, the approval of spot Bitcoin ETFs in the U.S. will likely be a significant topic of discussion.
Spot ETF Decision Looms Large
The upcoming month holds critical importance as the SEC reviews the application for spot Bitcoin ETFs, a decision that could profoundly impact the market. A favorable decision could significantly boost Bitcoin’s trajectory. However, reports from Bloomberg indicate a $0.50 billion outflow from global crypto platforms over the past nine weeks. Due to obvious reasons, SEC approval might not come easily before the Coinbase ruling.
John Deaton’s Perspective
Despite public outrage, courtroom setbacks, and harsh reactions to his handling of crypto assets in the last hearing, SEC Chair Gensler remains resolute in his crypto stance. Prominent crypto advocate John E. Deaton highlights that Gensler’s position remains unchanged, even in the face of court decisions, including those from the Supreme Court. This has raised concerns about potential arrogance and a perception of the SEC being above the law.
Is Gensler Leaving the SEC Gate This Time?
Questions also surround whether Gensler’s tenure at the SEC might be nearing its end. Critics argue that the SEC has been acting outside its jurisdiction, and his leadership has become a point of contention in the crypto community. As the hearing approaches, the crypto industry eagerly awaits answers to these pressing questions.
Ripple News: Analyzing Gary Gensler’s Response: What Really Happened in the XRP Lawsuit Interview?
Gary Gensler the most controversial and manipulative chair, well we are not saying it’s the public opinion on him. One thing is clear you cannot ignore his presence and hawkish crypto approach. But to the surprise let’s find out why he froze on the XRP lawsuit the first-ever case where the SEC got the max beating and it’s going on.
Gensler’s Freeze on XRP Question’s Raises Another Controversy
SEC Chair Gary Gensler faced immense criticism on crypto regulations and a series of questions. In a recent interview, Gensler initially laid his focus on his cautious stance on crypto, asserting that the industry often operates outside legal bounds. However, when pressed about recent court losses involving Ripple and Grayscale, Gensler’s response was met with an awkward silence, indicating recognition of these setbacks.
The recent Grayscale lawsuit ruling, allowing the conversion of Grayscale Bitcoin Trust (GBTC) into a spot Bitcoin ETF, could expedite decisions on similar applications from industry giants like Blackrock, Fidelity, and Bitwise. Gensler had previously mentioned the SEC’s pending decision on the Grayscale court order during a Congressional hearing. Next up is, if Gensler loses the Motion in October to CoinBase, his days at the SEC are over. This Coinbase motion is becoming a pivotable point in crypto modern history.
Gensler’s Role is Detrimental
Regarding the Ripple lawsuit, Gensler clarified that such decisions are joint efforts by the Commission, which is a low down on his anti-crypto stance. In a Congressional hearing, he stresses that decisions on spot Bitcoin ETFs would involve input from all SEC Commissioners. On the flip side, this signifies a shift towards a more collaborative approach in addressing crypto-related complex legal matters. Is it an attempt to reject the pending ETF applications? Gary’s role is creating FUD in the market with investors getting panicked and causing a situation of future liquidation.
Crypto Reaction On Gensler’s Crypto Stance
Representative Bill Huizenga tweeted on Sep 12 that he is unhappy with Gary Gensler’s stance on cryptocurrency. He believes Gensler is making too many rules (60 in 27 months) to transform capital markets, claiming it’s under the pretext of consumer protection. Huizenga thinks the SEC, led by Gensler, is trying to exert excessive control over people’s lives.
Scottmelker compared his role with Joe Biden and other dignitaries whose sole aim is to crush crypto.
US SEC Chair Gary Gensler Set to Tackle Major Crypto Discussions in Congressional Hearings
Is crypto entangled in an ego war, what’s happening with SEC’s legal setbacks, the recent cases are a huge cause of worry for investors and big institutions who are afraid to enter the regulatory muddle. At this time, Gary Gensler’s call is larger than expected; the meeting may make key choices.
Get insight by diving in.
Gensler to Testify Before Two Congress Panels
Notably, U.S. Securities and Exchange Commission (SEC) Chair Gary Gensler is set to appear before two congressional committees in September 2023. Although the official announcement does not say that the cryptocurrency market would be the main topic of discussion, it is likely that it will be the case. This follows the SEC’s recent legal defeats, such as the summary judgment in the XRP action and the success in the Grayscale spot Bitcoin ETF lawsuit.
With the #FireGaryGensler trend growing, the upcoming meeting’s agenda remains uncertain. People are eager to see if it will address crypto and Gensler’s involvement in legal proceedings.
What to Expect in the Meeting?
Gensler’s upcoming hearings will involve the U.S. Senate Banking Committee GOP and the U.S. House Committee on Financial Services Republicans. One key aspect of these hearings is the SEC’s plans regarding the approval of spot Bitcoin ETF applications from companies like BlackRock, Ark Invest, Fidelity, and Bitwise. The meeting is also very crucial as there will be added pressure on the SEC post-Grayscale victory to prove and clarify its stance on these applications. Moreover, Grayscale is aiming to convert its Grayscale Bitcoin Trust (GBTC) into a spot ETF.
In this context, Gensler has softened his aggressive take on crypto. Changing his stance from positive to neutral in an interview following the Ripple vs. SEC lawsuit summary judgment. He indicated that the SEC commissioners would make the decision to appeal the court’s ruling collectively, signaling a shift from his previous outspoken approach against crypto businesses.
The crypto wants him to resign only then a fair and transparent regulatory framework can be prevailed.
Impact on Crypto Market
Meanwhile, such events are directly related to crypto movements as they decide the fate of the trending tokens. The price of XRP could potentially rise to $1, building on the recovery that followed Grayscale Investments’ successful appeal against the SEC. The cross-border money remittance token has experienced a 2.8% increase to $0.53, with substantial trading volume and market capitalization. The king crypto BTC also surged to $28k after Grayscale’s SEC victory, but it might dip to $25k again.
Rumour Alert! Gary Gensler Might Step Down: Hester Peirce Could Take Over at SEC
Cryptocurrency circles are buzzing with a juicy rumour: Hester Peirce, the esteemed ‘crypto mom,’ might take over the lead role at the SEC (Securities and Exchange Commission). This could really shake things up for the rules around digital money in the United States. Here’s a simple breakdown of what’s going on.
The Gensler Era and What Might Change?
Gary Gensler leads the SEC right now, and he’s been pretty tough on cryptocurrencies. He’s made life difficult for big digital money exchanges like Coinbase and Binance.
But wait, here’s where things get interesting. The spotlight has shifted to Hester Peirce, affectionately known as the ‘crypto mom’ due to her pro-crypto stance. If she indeed takes the reins, experts are predicting a potential paradigm shift in how the SEC approaches digital currencies.
What has Crypto Mom Done Before?
Remember that time back in February 2021 when Peirce stood up and waved the pro-crypto flag? Yep, she did just that, urging the US Government to get its act together and craft crypto-friendly regulations. She did this right when big businesses were starting to take an interest in Bitcoin. Many think she could bring a fresh and positive approach to how the SEC deals with digital currencies.
John Reed Stark, former Chief of the SEC Office of Internet Enforcement, says that the rules around digital money are becoming a dividing topic between political parties. This wasn’t always the case. People from both sides used to agree that digital money could be a problem. Now, things have changed, and there’s a divide in how people feel about the rules around digital money.
Partisanship and Crypto Regulation
Stark sheds light on an interesting development: crypto regulation has taken on a partisan flavour at the SEC. What once seemed like a bipartisan issue now appears to be a topic that divides along party lines. He highlights how figures across the political spectrum, including President Donald Trump and Secretary Hillary Clinton, once shared similar views on crypto being a potential menace.
Surprisingly, Stark notes that the SEC’s initial crackdown on crypto started under the leadership of Jay Clayton, a Republican-appointed chair. Despite the initial unity, the partisan divide on crypto matters has deepened over time.
The ‘Crypto Mom’ Takeover? What will happen?
So, how might this all play out? If a Republican is elected as US President in 2024, Stark speculates that changes might be afoot. He envisions a scenario where the SEC’s crypto enforcement efforts could shift gears. This could mean a more favourable stance on a Bitcoin spot ETF and other crypto-related regulatory actions.
With the possibility of Hester Peirce becoming acting chair under a new Republican president, the balance of power within the Commission could tip. And if her history of dissent and opposition to certain crypto-related actions continues, Stark suggests that we could witness a slowdown in crypto-related SEC actions.
Hester Peirce is Rumored to be a Possible Replacement for Gary Gensler!
The Securities and Exchange Commission (SEC) Commissioner, Hester Peirce, is being speculated as one of the top candidates to replace Gary Gensler as the head of the regulatory agency. The possible move is expected to bring about significant changes in the SEC’s approach to the cryptocurrency space, given Peirce’s pro-crypto stance. She has previously voiced her support for cryptocurrency and blockchain innovation and has been urging the SEC to take a more proactive approach to regulating the industry. If her appointment is confirmed, it is expected to receive a warm reception from the crypto community, which is increasingly seeking clarity and regulatory certainty.
Crypto Controversy: Gary Gensler’s Stance Under Scrutiny
In a recent tweet, prominent crypto influencer Mr. Huber issued a challenge to Gary Gensler, Chairman of the US Securities and Exchange Commission (SEC). Mr. Huber criticized Gensler’s broad strokes approach to classifying cryptocurrencies, focusing on Gensler’s assertion that “most tokens are securities.”
Breaking Down the SEC’s Token Stance
Huber raises an interesting point by asserting that Gensler often seems to overlook the complexities of token offerings, focusing instead on blanket statements that categorize most tokens as securities. This approach, according to Huber, fails to acknowledge the nuances in token sales and the specific circumstances surrounding each offering.
The crypto KOL further quoted SEC commissioners such as Heister Peirce, who has expressed frustration over the SEC’s tendency to label tokens themselves as securities.
Huber highlighted the ongoing narrative, often played out in litigation, where the SEC argues that tokens in the secondary market are also embodiments of securities. Despite the constant pushback against these claims, Huber anticipates that critics will persist in their attempts to deny the SEC’s generalized approach to tokens.
An Unconstitutional Expansion of Howey?
In a separate tweet, lawyer and founder of CryptoLawUS, John Deaton, dissected the SEC’s controversial stance on cryptocurrencies. Deaton discussed how Gensler testified under oath about crypto exchanges falling into a “regulatory gap” between the SEC and the Commodity Futures Trading Commission (CFTC). However, Deaton also pointed out that the SEC has maintained its jurisdiction over digital assets despite these proclamations.
Diving deeper into the concept of jurisdiction, Deaton warned that the SEC’s enforcement actions could indeed commit “violence to the separation of powers” if they lack jurisdiction over digital assets and crypto exchanges.
As an example, Deaton pointed out how an expansion of the Howey Test — a test that defines what an investment contract is — to cover asset purchases like software code sales could be seen as unconstitutional. He strongly asserted that such an extension could potentially infringe on the separation of powers.
Ripple-SEC Lawsuit Update: Deaton Vs Gensler, Is Gary Gensler Sidestepping the Law?
In a remarkable twist in the ongoing debate over cryptocurrency regulation, John Deaton has launched a stinging critique of Gary Gensler’s position on crypto tokens. Citing a recent video interview where Gensler commented on the applicability of securities laws to most industry tokens, Deaton landed a verbal blow, asserting these laws, according to the Howey test, do not apply to these tokens.
The Howey test, a standard in U.S. law derived from a Supreme Court case, is used to determine whether a transaction qualifies as an “investment contract” and thus a security. Deaton argued that securities laws could apply to the “offer and sale of tokens, including Bitcoin”, drawing parallels with a past case, SEC v. Shaver’s in 2013.
John Deaton’s Counterpunch
Deaton suggested that Gensler might be gaslighting the public with his stance. He called for an end to what he perceived as the SEC chair’s “ignoring of the law.” This issue — the application of securities laws to crypto — remains one of the most contentious in the digital currency space. Opinions vary widely, with top brass at the SEC and crypto leaders often expressing profoundly different interpretations of the status of these emerging assets.
The Legal Battle is Not Over
These divergent interpretations are fueling a number of high-profile lawsuits against top players in the industry, including major exchanges such as Kraken, Coinbase, and Binance.
Despite a recent ruling by Judge Analisa Torres that XRP itself is not a security, the SEC remains unappeased, with whispers of a potential appeal circulating. The ultimate verdict on the status of crypto may very well end up being decided at the Supreme Court level.
Why are XRP users targeted?
Deaton also tweeted that the threat of the SEC prevailing in its case hung heavily over XRP holders and anyone involved with digital assets. He highlighted that the SEC’s regulatory stance had created a sense of uncertainty, as any digital asset could potentially be targeted and replaced under similar circumstances. Deaton characterized the SEC’s approach as a “bald-faced regulatory land grab,” suggesting that the commission’s actions were an attempt to expand its regulatory reach.
XRP Lawsuit: SEC Chair Gary Gensler Remains Silent on Ripple’s Legal Victory: What’s Next?
The U.S. Securities and Exchange Commission Chairman Gary Gensler has chosen to maintain the suspense, avoiding revealing whether an appeal is forthcoming against the court’s decision favoring Ripple.
Gary Gensler Refuses to Provide a Clear Answer
During a recent interview, Gensler was questioned by Bloomberg’s Kailey Leinz regarding the SEC’s intention to appeal the judgment given by Judge Torres in the Ripple case. This query came in response to Gensler’s expressed disappointment last week regarding the court’s ruling favoring retail investors.
This ruling has determined that Ripple’s XRP cryptocurrency can only be considered security when sold to institutional investors, not retail ones. Leinz sought to clarify if the SEC’s statements of seeking review meant that an appeal was in the pipeline.
The Undecided Next Step
Gensler responded in an uncommitted manner, stating that he was just one among the five commissioners, implying his inability to single-handedly make the decision of an appeal. He continued to explain that any staff recommendations would be discussed among the commissioners before any final action is determined.
“The commissioners have not acted on that [deliberate on whether the SEC should appeal]. If the staff makes a recommendation, we will have a discussion of it, and we’ll take it up there. I don’t have anything more on that.”
— Gary Gensler
Ripple’s Response and Expectations
In a related development, Ripple’s chief counsel, Stuart Alderoty, has been vocal about the impact of the SEC’s lawsuit ruling, highlighting its positive influence on the larger cryptocurrency market. According to Alderoty, the ruling rejected the necessity for crypto exchanges trading digital tokens, such as XRP, to register as national security exchanges.
Alderoty also speculated about the SEC’s possible next move and Ripple’s preparedness for it. He noted that signs indicate the SEC is not satisfied with the ruling and may recommend an appeal.
However, Ripple is not deterred by this prospect, believing that the judge’s decision was legally sound, and confident that any appeal would result in affirmation or possible amplification of the ruling.
Unraveling Ripple’s lawsuit, Gary Cohn, and crypto turmoil.
There’s a complex narrative happening in the crypto world that is not getting the attention it deserves. Ripple has partially won the lawsuit against SEC. But not all are happy! Especially the people behind EthGate. One can’t help but ask: what is Gary Cohn’s role in the crypto turmoil that’s been making headlines? Let us dive into the details
Cohn’s Tangled Web
An investigation by Cowboy.Crypto on Twitter brings forth a head-spinning narrative, revealing a complex web of investments and relationships. The connections between Sterling Trust Sciences, where Cohn serves as a Risk and Governance Advisor, Ripple, and other big names such as Jump Crypto, FOMO Pay, and even IBM are mysterious.
The dots are starting to connect, and it’s starting to look like Cohn is at the center of it all. The narrative spins a tale of how these interconnected entities could have potentially impacted the lawsuit against Ripple. Cohn’s positions at Sterling Trust Sciences, just months before Ripple’s lawsuit, and later at IBM, are drawing eyebrows.
The Mysten Labs Connection
And what about Mysten Labs? Cohn, Jay Clayton, and several others have vested interests in this company. And we’re not talking about small changes. Apollo, the company where Jay Clayton moved after suing Ripple, was involved in a whopping $300M funding round for Mysten Labs.
A Ripple Effect
As this behind-the-scenes drama unfolds, Ripple is expanding its services in the UK and Ireland. Its growing influence across Europe cannot be understated. Which makes one wonder – why is CoinDesk, a prominent cryptocurrency news platform, so unabashedly against Ripple’s cryptocurrency, XRP?
Meanwhile, what is ETHGATE?
ETHGate is a conspiracy theory claiming that Ethereum got special treatment from regulators while others, like Ripple, faced harsh scrutiny. Critics argue that financial regulators have been inconsistent in labelling certain cryptocurrencies as “unregistered securities offerings.” Some for-profit companies like Binance and Crypto.com created tokens without much trouble, while others like Ripple faced more challenges. Even similar cryptocurrencies have been treated differently. For example, Ripple’s rival, Stellar, might have avoided issues by registering as a non-profit and publishing its source code.
Coindesk vs. XRP
Now, let’s talk about that last bit – why does CoinDesk seem to have a bone to pick with XRP? Could it be because of the intricate connections between key players and their vested interests? Is it because of an intermingling of investment trails and the people pulling the strings behind the scenes? As Ripple is growing stronger, some players might be getting uncomfortable.
An Intricate Web: The Bottom Line
The connections between Gary Cohn, various crypto entities, and the Ripple lawsuit paint an intriguing picture. Whether or not Cohn is the puppet master behind #EthGate, these revelations are bound to stir the pot in the crypto world.
As Ripple continues to expand, it’s clear that the company is making waves. And as the Cowboy.Crypto tweets point out, there’s a lot more to uncover in this high-stakes world of cryptocurrency. One thing is certain, the closer we look, the more fascinating the connections become. Will this be the unraveling of #EthGate, or just another thread in an increasingly tangled web? Only time will tell.
Gary Gensler Needs to be Fired! U.S. Rep Warren Davidson Introduces SEC Stabilization Act
Ohio’s 8th district U.S. Representative Warren Davidson has taken a bold step towards reforming the Securities and Exchange Commission (SEC), announcing the filing of the SEC Stabilization Act. Davidson, a former military officer turned politician, seeks not only to restructure the SEC but also to remove its current chairman, Gary Gensler, from office. Why such a move, and what implications does it hold for the future of American financial markets?
🚨 NEWS – Today I filed the SEC Stabilization Act to restructure the @SECGov and #FireGaryGensler.
U.S. capital markets must be protected from a tyrannical Chairman, including the current one. It’s time for real reform and to fire @GaryGensler as Chair of the SEC. Statement ⬇️ pic.twitter.com/0VUHxUAhtB
— Warren Davidson 🇺🇸 (@WarrenDavidson) June 12, 2023
Gary Gensler is Tyrannical
In an assertive tweet, Davidson criticized what he perceives as an ongoing abuse of power in the SEC and labeled the current chairman as ‘tyrannical.’ With the SEC Stabilization Act, he is proposing a significant change in the way the SEC functions. He seeks a system that prioritizes the best interests of the market rather than the whims of a single individual. Is such a drastic change in the SEC’s structure necessary, or is this an act of political maneuvering?
Davidson is not alone in his fight to reshape the SEC. Tom Emmer, the GOP Majority Whip, has joined Davidson in this critical cause. Emmer echoed Davidson’s sentiments, emphasizing the need for clear and consistent oversight for American investors and industries rather than political gamesmanship.
“It’s time for real reform and to fire Gary Gensler as Chair of the SEC” Warren Davidson
The SEC Stabilization Act Explained
The SEC Stabilization Act is not merely about removing Gensler from his chair. It proposes a comprehensive restructuring of the SEC. The Act aims to divide rulemaking, enforcement, and investigation duties among six commissioners, a significant shift from the existing system. Additionally, it introduces an Executive Director role for overseeing day-to-day operations.
The #SECStabilizationAct explained ⤵️
❌ Fires Chair @GaryGensler
✅ All rulemaking, enforcement, & investigations conducted by 6 commissioners
➕ Creates ED Role for day-to-day operations
Thank you, @GOPMajorityWhip for helping lead this legislation. pic.twitter.com/QFEHePJh1h
— Warren Davidson 🇺🇸 (@WarrenDavidson) June 12, 2023
But will spreading the duties among more people lead to better oversight, or will it create confusion and inefficiency? How will the introduction of an Executive Director role affect the daily functioning of the SEC?
A New Dawn for the SEC?
Davidson’s proposed SEC Stabilization Act brings a lot of questions to the table. Does this legislation mark a turn towards more decentralization in the regulation of U.S. capital markets? Or is it simply a targeted attempt to remove a controversial figure from power?
The answers to these questions are not yet clear. However, it’s certain that the journey to pass this Act will be a pivotal one to watch, potentially redefining the future of American capital markets.
Is SEC Chair Gary Gensler Dragging the Ripple lawsuit? Gensler’s Rulemaking Process Might Take 10-20 Years
While the cryptocurrency sector awaits a resolution in the prolonged Ripple lawsuit, Venture Capitalist Adam Cochran recently expressed his concerns on Twitter regarding the Securities and Exchange Commission (SEC) ongoing delay in formal rulemaking for digital asset transactions. He said that the current pace at which the SEC is embarrassing to the United States.
He also brought to light how the SEC Chair Gary Gensler has referred to past cases to support the notion that rulemaking processes lasting 10 to 20 years are considered acceptable.
His tweet suggested that at present, there is growing concern that innovation in America is facing significant challenges. Curiously, while these innovative sectors face regulatory pressures, there have been instances of OCC regulated banks experiencing failures that have resulted in the potential loss of user deposits. This situation raises doubts about the stability and reliability of the traditional banking system.
“One can appreciate that new technology can be challenging to understand the implications of and merits time to study. Which is why despite crypto being created in 2010, it took other US regulators time to respond – but, respond they did.”
While other departments have been able to clarify their positions, the SEC Chair has been reluctant to provide clear guidance on digital asset transactions. This lack of guidance from the SEC has raised concerns and frustrations within the industry. This projection suggests that the United States may lose its competitive edge in the digital asset space if regulatory clarity is not provided in a timely manner.
The legal dispute between Ripple and the SEC, which commenced in December 2020, revolves around the SEC’s assertion that Ripple did not register approximately $1.4 billion worth of XRP as securities. The outcome of this lawsuit carries significant implications for the broader cryptocurrency industry.
SEC Chairman Gary Gensler in Hot Seat, HedgeUp (HDUP) Positions Itself Ahead of the Curve. Will Dogecoin Plummet Along With Tesla?
Securities and Exchange Commission (SEC) chairman Gary Gensler found himself in a congressional hot seat over his aggressive regulatory agenda on the crypto market.
During Tuesday’s House of Financial Services Committee hearing, Republican lawmakers on the panel blasted Gensler for the SEC’s recent enforcement efforts against crypto companies. They also ripped into Gensler’s proposed regulations to tighten rules for crypto firms, noting that he had proposed twice as many rules as his predecessors.
In his defence, Gensler argued to the panel that the U.S. has the strongest and most secure capital markets in the world because of its robust rules, adding that there is a need for updated rules because the new innovations are putting investors at risk.
But the committee’s chairman, Rep.Patrick McHenry, said it’s irresponsible for the SEC to sue crypto firms when the law isn’t clear about which digital assets are securities or commodities. To many in the crypto community, this was proven when McHenry pressed Gensler to define whether ether(ETH) is a security or commodity, only for the latter to refuse to answer.
“You’re punishing digital asset firms for allegedly not adhering to the law when they don’t know it will apply to them. It’s nonsensical,” McHenry told Gensler.
Gensler has been under a lot of fire from the crypto industry. Many accuse him of creating a hostile environment for digital assets that has forced several crypto firms to move their operations abroad.
HedgeUp (HDUP) Positions Itself Ahead of The curve.
In other news, HedgeUp (HDUP) has been ahead of the curve in bringing new innovations to the crypto industry. The project’s new platform is the world’s first alternative investment trading platform.
HedgeUp (HDUP) will allow anyone to invest in alternative assets like luxury watches, jewellery, wine, and whiskey without having to buy the assets. This is possible because the items are tokenized into NFTs that users can trade on HedgeUp’s (HDUP) revolutionary NFT trading platform.
The project is currently running a presale for its platform token HDUP. The HDUP token will be used to make fee payments, bid at auctions, and trade assets on the platform. Holders also get first access to new products, exclusive access to the HedgeUp (HDUP) masterclass, and discounts on fees and services.
Interested investors can purchase HedgeUp (HDUP) tokens at a discounted rate of $0.013 during the presale before the price increases.
Will Dogecoin (DOGE) plummet along with Tesla?
Tesla’s stock has been on a downward trend for quite some time now. It is currently trading at around $184.31 per share, which is more than a 50% drop from its all-time high of $414.50. The stock has also had a bad week after losing 3.49% of its value over the past five days.
Tesla CEO, Elon Musk, is a vocal admirer of Dogecoin (DOGE). The billionaire has written several tweets expressing his support for the cryptocurrency. And in early 2022, he stated that Tesla would accept Dogecoin payments for some of its branded products.
This relationship between Tesla, its CEO, and DOGE is leaving many to wonder whether the cryptocurrency will plummet along with Tesla’s shares.
But the market has provided an answer to this– Tesla’s woes have not affected Dogecoin’s performance. Although the asset is also trading way below its all-time high, it is having a much better run. It’s currently trading at $0.07855. This represents a 14.5% decrease over the past seven days and a 4.7% gain over last month.
For more information on HedgeUP click the links below:
Presale Sign Up: https://app.hedgeup.io/sign-up
Telegram Link: https://t.me/HedgeUpChat
Official Website: https://hedgeup.io
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Ripple Vs SEC: Will SEC Chairman Gary Gensler Agree for a Settlement, Here’s the Best Case Scenario
Regulatory uncertainty is already having an impact on the cryptocurrency sector and the widely publicized lawsuit between Ripple and the United States Securities and Exchange Commission (SEC). is now gaining steam as the community waits impatiently for the judge to render a decision.
Coinbase has joined the ranks of Ripple, which is fighting on behalf of the entire cryptocurrency space. Youtuber Zach Rector explained the best-case scenario for the Securities and Exchange Commission and added that a settlement may soon be on the cards amid a heavy backlash against SEC chair Gary Gensler.
Talking about Coinbase suing the SEC, he pointed out an interesting fact. He said, “Fred Rispoli has filed some interesting motions. He actually filed the motion against Coinbase, so now it’s funny Fred and Coinbase now are going to be both on the same side against the SEC even though Fred just filed the class action lawsuit against Coinbase.”
According to reports, The House Financial Service Committee has released a new draft bill to regulate stablecoin issuers. The proposal mandates that stablecoin issuers be authorized and subject to regulation. Additionally, it states that stablecoins are not securities and are not subject to SEC regulation.
Even during his recent appearance before the US House of Representatives Financial Services Committee, Gensler continued to dodge the frequently questioned topic of whether Ethereum (ETH) is security.
XRP price hits reverse
This week marked a slow start for the broader cryptocurrency market and XRP. There were no updates in the SEC v. Ripple case to pique interest. Before going into reverse, XRP climbed to an early high of $0.48499. The first major resistance level at $0.4734 and the second major resistance level at $0.4819 were both broken by XRP and then it hit the reverse button. At the time of writing, XRP is down by more than one percent and is trading at $0.45.
SEC Chair Gary Gensler Under Fire: Is The Future Of Crypto At Risk?
The cryptocurrency industry has been in a state of uncertainty and confusion due to the lack of regulatory clarity in the United States. The recent testimony of SEC Chair Gary Gensler before the House Financial Services Committee has further highlighted the urgent need for clear guidelines and rules.
The failure to differentiate between cryptocurrencies as securities or commodities has left the market unstable, with crypto firms unsure of how to comply with regulations or whether they will face enforcement actions. This has led to growing concerns among industry stakeholders that many crypto firms may choose to move offshore if regulatory clarity is not provided soon.
XRP Or Commodity? Gary Gensler Cannot Differentiate!
The recent testimony of SEC Chair Gary Gensler before the House Financial Services Committee has further highlighted the urgent need for regulatory clarity, as he refused to clarify whether Ether is a security or commodity. This lack of clarity has led to confusion and instability in the market, with crypto firms unsure of how to comply with regulations or whether they will face enforcement actions.
Congressman Tom Emmer has criticized Gensler for his handling of the situation, accusing him of causing chaos in the market and pushing innovation to China. Emmer believes that many Americans are unhappy with Gensler’s approach and are hoping for his dismissal from the SEC.
Lack of Clarity Is Hurting Crypto
The need for clarity and regulation in the industry has also been emphasized by lawyer Bill Morgan, who submitted a proposal for a bespoke regulatory framework for digital assets on behalf of his law firm.
Without clear rules and regulations, many crypto firms may choose to move out of the US, leading to a loss of innovation and economic opportunities. The US must act swiftly to provide regulatory clarity and prevent further confusion and instability in the market. It is crucial that the SEC provides clear guidelines for crypto companies to comply with, rather than relying on enforcement actions without clear rules in place. The cryptocurrency industry is in need of certainty and stability, and the US government must provide the regulatory clarity necessary to ensure its continued growth and success.
Should Gary Gensler Step Down?
All Committee Republicans, led by Chairman Patrick McHenry, have written a letter to SEC Chair Gary Gensler criticizing his attempts to force digital asset trading platforms to “come in and register” under a non-existent registration process. The letter accuses Gensler of overstepping his authority and urges him to work with Congress to establish a clear regulatory framework for the cryptocurrency industry.
Gensler’s testimony before the House Financial Services Committee holds significant implications for Ripple and the global digital asset market. While it is unlikely to substantially impact the ongoing legal dispute between the SEC and Ripple, the outcomes of the hearing could shape the future trajectory of the industry.
What outcome are you hopeful for?
Gary Gensler Stumbles On Whether Ethereum Is A Security Or A Commodity
The House Financial Services Committee is holding a hearing to perform oversight of the Securities and Exchange Commission. Republicans on the committee have stated that they are dedicated to holding Chair Gensler responsible for his strategy of regulating the digital asset ecosystem through enforcement, his reckless regulatory agenda, and his disregard for the Commission’s capital formation mandate.
When questioned about the status of Ethereum as to whether it is a security or commodity. Gensler falters before the house.
SEC Chair Gary Gensler Gets Grilled On Crypto Regulation In The U.S. House Hearing
In his opening remarks, Representative Patrick McHenry brought up the commission’s “punishing” of companies who deal in digital assets through regulation and enforcement without a clear route to compliance. The congressman renewed proposals for legislation that would provide “clear rules of the road” for cryptocurrency.
Further, to Chairman McHenry’s dismay, the SEC Chair evaded a direct response when Gensler inquired if Ethereum (ETH) was a security or a commodity. The Chair of the House Committee repeatedly questioned Gensler about ETH in particular given the 50 enforcement actions, to which Gensler attempted to respond in a generic manner by saying, “It depends on the facts of the law.”
Gensler’s vague comments were repeatedly highlighted by McHenry, who cited the SEC chair’s desire to classify Bitcoin as a commodity and hinted at earlier, private discussions on ETH before the hearing.
“Clearly an asset cannot be both a commodity and a security,” said McHenry. “I’m asking you, sitting in your chair now, to make an assessment under the laws as exist, is Ether a commodity or a security?”
“You have pre-judged on this: you’ve taken 50 enforcement actions. We’re finding out as we go, as you file suit, as people get Wells notices, on what is security in your view, in your agency’s view.”
Gensler had previously stated in his pre-hearing testimony that cryptocurrency intermediates were engaging in securities transactions and should register with the SEC. An all-Republican coalition of lawmakers challenged this position in a letter denouncing the SEC’s viewpoints. Regulatory frameworks that are incompatible with the underlying technology and inapplicable to laws governing the issuing of securities, according to the letter, were imposed on crypto businesses by the SEC.
Community Reactions
The crypto community, which has long criticized Gary Gensler’s leadership of the SEC and its policies, has praised the inquiries made by Rep. Patrick McHenry.
Some have said that Gensler ought to be removed from his role as SEC chairman immediately and should be replaced by somebody with more industry knowledge.
Congressional Republicans Slam SEC Chair Gary Gensler’s Crypto Approach! Explosive Details Emerge in Today’s Hearing
The battle between the US Securities and Exchange Commission (SEC) and the crypto industry has taken center stage as SEC Chair Gary Gensler faces criticism from Republicans on the House Financial Services Committee. The committee claims Gensler’s approach to crypto companies is not compatible with existing law, and his statements urging the industry to register are a “willful misrepresentation” of the agency’s frameworks. Amidst this tug-of-war, Gensler is set to testify before the committee, followed by a crypto-specific hearing discussing stablecoins.
Gary Gensler Faces Intense Criticism
In a bold move, Republicans on the committee have recently signed a letter arguing that national securities exchange regulations do not fit well with digital assets due to their potential for non-investment use. The letter accuses Gary Gensler, the chair of the Securities and Exchange Commission (SEC), of making a “willful misrepresentation” by urging the industry to “come in and register” with the agency. These statements, the Republicans argue, are inconsistent with the SEC’s current regulatory frameworks.
The letter said:
“Given an NSE can only list securities that have been offered in compliance with the securities laws, the inability to register makes the current NSE framework ill-suited for digital asset trading platforms. Moreover, the lack of clarity provided by the SEC as to what digital assets are considered securities also limits what an NSE can list.”
As the crypto industry eagerly awaits Gary Gensler’s testimony before Congress, the Securities and Exchange Commission (SEC) Chair has reaffirmed his stance on crypto regulation. In a prepared statement released on Monday, Gensler doubled down on his belief that “most crypto tokens are securities” and called for all crypto exchanges to register with the SEC.
This comes as the SEC has taken enforcement actions against several exchanges, including Beaxy and Bittrex, signaling Gensler’s push for exchanges to register as a national securities exchange, broker, and clearinghouse.
Gary Gensler Fails To Describe Crypto Regulations
During a hearing before the House Financial Services Committee, Chairman Patrick McHenry criticized Gary Gensler for his lack of clarity on how cryptocurrency firms should adhere to current laws and regulations.
SEC Chair Gary Gensler faced tough questioning during the hearing, particularly around the classification of Ethereum. Committee Chairman Patrick McHenry pressed Gensler on whether ETH should be considered a security or commodity, citing the SEC’s 50 enforcement actions in the crypto space. However, Gensler avoided giving a direct answer and instead offered a vague response, saying “it depends on the facts of the law,” much to the frustration of McHenry.
“Not clearly mentioning the rules as to how companies should comply and punishing them is not ideal.”
McHenry cited conflicting statements about whether Ethereum is a security or a commodity, including a 2018 statement by a former SEC director that it is not a security and a 2023 statement by the CFTC chairman that it is a commodity. He noted that the lack of clarity in the market is further compounded by the New York attorney general’s position on the matter.
Pro-XRP Lawyer Explains How Gary Gensler May Face Troubles if Judge Rules Against Ripple
In the continuing Ripple vs. SEC case attorney John Deaton, the founder of Crypto Law, has spoken out about how Judge Anastasia Torres is taking her own sweet time to issue the summary judgment.
There is a lot of writing on it and he thinks that she’s taking her time because historically she’s been a good judge and a lot could depend on her decision, which could be the most significant non-fraud SEC enforcement case since the Howie decision in 1946.
In an interview with Real Vision Crypto, he said that a lot of people are anxious because of the upcoming decision and talking about the pressure, he added that the decision is not just about XRP anymore. He said, “You have 15 amicus briefs, digital Chamber of Commerce, Coinbase XRP holders…”
Deaton believes that it has been proven that there was coordination between the defunding of the banks, the seizure of Signature Bank, and the requirement that the buyer of Signature Bank divests any cryptocurrency deposits. The New York attorney general is currently suing Kucoin for calling eth security, and the chairman of the SEC claimed that eth was security back when the merger took place.
He said, “We’re witnessing an absolute in a real-time coordinated effort to damage this asset class in my opinion. In my opinion, part of it is I think at this point they’ve accepted that Bitcoin and certain digital assets are here to stay.”
Talking about what will happen if the decision is against Ripple, he said, “The decision is bad for Ripple and XRP and crypto in general. It’s going to gain more momentum for Gary Gensler in the SEC. If the judge stops them in their tracks and says this is overreach, this is government intrusion and kind of slaps them down then I think we’re going to see a lot of his political momentum.”
Deaton also said that the rest of the world doesn’t really give a damn about the SEC and their theories of what’s security and what meets the Howey test and added that the rest of the world is moving on.
Ripple’s Policy Chief Clashes With SEC Chair Gary Gensler On Crypto-Securities Compatibility
The ongoing debate between the SEC and Ripple continues to draw attention as the crypto market is filled with controversies regarding crypto securities. Ripple’s Policy Chief recently entered the fray, taking issue with the views expressed by Gary Gensler, the Chairman of the U.S. Securities and Exchange Commission (SEC), on the compatibility of cryptocurrencies and securities.
Susan Friedman Slams Gary Gensler’s Views On Crypto
Ripple, a significant player in the blockchain and cryptocurrency space, has long been at odds with the SEC over the classification of its native digital asset, XRP. The SEC argues that XRP should be treated as a security, while Ripple maintains that it is a currency. The ongoing legal battle has made headlines, as it could potentially set a precedent for the classification of other digital assets after the highly anticipated summary judgment.
Recently, SEC Chairman Gary Gensler took to Twitter to express that there is no incompatibility between the crypto markets and securities laws. He highlighted the SEC’s objective of aligning the cryptocurrency space with existing regulations, ensuring that digital asset investors enjoy the same protections as those in traditional markets.
In a recent public statement, Ripple’s Policy Chief criticized Gensler’s stance on cryptocurrencies, arguing that the SEC Chair’s views are overly restrictive and false. Susan Friedman pointed out that, in contrast to securities, cryptocurrencies typically don’t entail a financial claim on the issuer and can be settled in real time without intermediaries.
She argues that these distinctions necessitate tailored regulations rather than blanket statements asserting that a one-size-fits-all approach is the most appropriate course of action.
XRP Investors Wait For The Final Outcome
The crux of the disagreement between Ripple’s Policy Chief and Gensler lies in their divergent interpretations of the Howey Test, a legal framework used to determine whether a financial instrument qualifies as a security. Ripple believes that the Howey Test, which was established in the 1940s, is outdated and ill-suited to the unique characteristics of digital assets.
Attorney Bill Morgan emphasized that the US SEC’s own expert conceded that since mid-2018, the price movements of the two largest crypto assets, Bitcoin and Ethereum, can account for up to 90% of Ripple’s native token price fluctuations. Despite this, the notion that Ripple Labs’ substantial XRP holdings imply that the XRP ledger (XRPL) is centralized and that XRP constitutes a security continues to endure.
He stated that in the event of a split decision in the XRP lawsuit, the judge could rule that XRP sales conducted after mid-2018 were not considered securities.
Although Gensler and Friedman may hold differing opinions on the specific regulatory framework to be applied to the crypto market, they both appear to concur that some degree of regulation is essential for safeguarding investors and maintaining market integrity.
Ripple Live News: Advocate John Deaton Criticizes SEC and Gary Gensler, XRP Price Gears Up
A new bill in Maine that seeks to support the adoption of cryptocurrencies has called for john e deaton 
john e deaton founder at Crypto Law US john EntrepreneurHostMarket Analyst 
, the attorney who is representing more than 75,000 XRP holders, to give testimony in favor of it. A presentation of L.D. 990 before the Maine Financial Services Committee was scheduled for April 4th, according to Maine Senator Eric Brakey.
According to Brakey, the Wyoming statute that the Maine legislation is built after permits private banking institutions to accept cryptocurrency deposits with 100% reserve requirements, including bitcoin org 
bitcoin org Event OrganiserTechnologyPayment solution 
, in Maine.
To find cryptocurrency or blockchain experts who could testify in favor of the measure before Maine’s regulators, the senator tweeted that he was looking for recommendations from his followers. Brakey addressed Deaton after there was an extraordinarily high volume of replies.
Deaton wrote on Twitter, “I testified today before Maine’s FSC that you and the SEC and other agencies are threatening not only digital asset holders but threatening a state’s right and ability to pass legislation like a Bank accepting custody of crypto w/100% reserves.”
XRP Price on the rise
There were no SEC v. Ripple case updates to offer guidance on Wednesday, so it was a quiet day and XRP was at the mercy of case-related talk due to the paucity of updates.
Also Read: Ripple vs SEC Ruling POSTPONED! What Does It Mean for XRP Investors?
The price of XRP increased quickly in the last two weeks, from $0.37 to $0.49 and from $0.44 to $0.58. It has grabbed the spotlight after its staggering 32% run.
Now, a further 32% run up from the $0.49 level may push the native token to $0.65, the bullish target, if the bullish momentum in XRP’s rise is maintained. In conclusion, a price break over the $0.55 resistance level could lead to a significant rise. Yet, if rejection happens, Ripple’s main support will be the $0.48 region.
Expert Outlines Reasons Why He Thinks SEC Gary Gensler’s Facing Massive Losses Soon
In a bold move by the world’s largest asset manager, BlackRock has announced the launch of a private trust that will give clients exposure to spot Bitcoin. The move is seen as competition to Grayscale Bitcoin Trust (GBTC), as BlackRock seeks to fill its own trust with spot Bitcoin. Despite regulatory fears and macroeconomic conditions, the largest asset manager on earth is not afraid to take the plunge into Bitcoin.
Growing Interest in Bitcoin
According to Larry Fink, BlackRock’s CEO, there has been a growing interest in Bitcoin from various institutions. BlackRock has been involved with Bitcoin miners and even Silvergate, showing that the company is preparing for something big. While retail investors are fearful and panicking, big boys like BlackRock are accumulating and preparing for the future.
Regulatory Concerns
Despite the growing interest in Bitcoin, regulatory concerns have also been raised. Gary Gensler, the new Chairman of the SEC, is trying to impose strict regulations on the industry. However, crypto expert George Tung believes that there are lawsuits that could end Gensler’s rule. The first is the attempt to stop Voyager from being bought out by Binance. The judge has already ruled in favor of the acquisition, causing disruption to Gensler’s plans.
Ripple’s Lawsuit
The second lawsuit is Ripple’s case against the SEC. There is a growing sentiment that Ripple is about to win the case. The judge threw out the SEC’s expert witness, leaving the organization without any proof that Ripple was making a profit from selling XRP. This could change the industry and put Gensler in his place.
Grayscale’s Lawsuit
The third lawsuit is Grayscale’s case against the SEC. The company is arguing that there is no good reason why the SEC stopped a spot Bitcoin ETF, even though Grayscale and Fidelity have met all the conditions. The lawyer is now saying that Grayscale has a 70% chance of winning the lawsuit. This could force Gensler to allow a spot Bitcoin ETF, bringing billions of dollars into the space.
Exciting Times Ahead
The potential losses faced by Gensler in these cases could lead to massive changes in the crypto space. Coinbase may even have the balls to go after the SEC and Gensler, saying that staking is not illegal. Paxos or Binance may also sue the SEC for declaring their stablecoin security. With these potential losses, Gensler may be on his way out, says George Tung.
Ripple Lawyer Asks Gary Gensler to Step Down from Token Securities Cases
Gary Gensler is a US public servant and financial regulator who now serves as the Head of the Securities and Exchange Commission (SEC). With his recent regulatory measures, Gensler has often come under fire. Senator Tom Emmer of Minnesota has criticized him for his regulatory flaws.
Others have expressed their disapproval of the manner the SEC is conducting the case against Ripple and LBRY. Also, with regard to the pointless raids and their failure to stop the entire FTX scandal.
Gary Gensler, the head of the United States Securities and Exchange Commission (SEC), outlined his reasoning for thinking that all crypto tokens other than bitcoin are securities. This, needless to say, has received plenty of criticism. Let’s explore.
Alderoty slams Gensler
In a recent tweet, the Chief Legal Officer of Ripple, Stuart Alderoty described how Chair Gensler had once more declared that all cryptocurrencies, with the exception of Bitcoin (BTC), are unregistered securities. He is now required to abstain from voting in any enforcement case that brings up that subject because he has already formed an opinion on the result for SEC v. Antoniu (8th Cir. 1989)
The question in SEC v. Antoniu was whether the commissioner’s ongoing involvement in the disbarment proceedings was an infraction of due process. The commissioner’s words on the stockbroker’s permanent ban from employment in the securities industry while the proceedings were ongoing, according to the court, showed that the commissioner had already made up his mind about the case.
Others support Stuart Alderoty
Attorney John Deaton, who represents thousands of XRP holders as an amicus curiae in the SEC litigation against Ripple, backed up Alderoty’s claims. Deaton called the Ripple lawyer’s position a “Brilliant move” and said it was important to bring it up in front of the House Financial Services Committee.
Another pro-XRP lawyer, Bill Morgan, affirmed Alderoty’s assertions and said that Gensler has persisted in making these allegations despite the fact that most cryptocurrencies have not been the subject of investigations.
Crypto lawyers weighed in on Gary Gensler’s statements about crypto regulation, claiming that the Securities and Exchange Commission lacks the legal authority to control the industry. Alexander Grieve, Jake Chervinsky, Logan Bolinger, Jason Brett, and Gabriel Shapiro are just a few of the industry insiders and attorneys who have shared their opinions.
Marc Fagel comes in support
Marc Fagel, a former regional director for the Securities and Exchange Commission, refuted these allegations by pointing out the distinction between an administrative proceeding and voting on enforcement measures. Fagel asserts that the SEC commissioners and Chair serve as judges in a litigated administrative process, which the SEC no longer brings. Yet, they defer to the courts when authorizing acts taken by the enforcement section. Fagel contends that the precedent does not hold because of this.
To conclude,
The SEC seems to be facing criticism for every step they take these days, but they keep following the same pattern. The absence of clear guidelines has led to issues.
Deaton Says Congressional Investigation Could Bring Down SEC Chair Gary Gensler
According to attorney John E. Deaton, the United States Securities and Exchange Commission (SEC) chair Gary Gensler could be in hot water due to the SEC’s failure to investigate questionable Chinese investments by Sequoia Capital. Deaton made this assertion in a tweet last Saturday, stating that Sequoia was also an investor in FTX.
The tweet was in response to a thread by Brian Costello, a technology executive with a background in international finance, in which he called out Congress for enabling China to become a more significant threat to U.S. national security by turning a blind eye to the reluctance of the Gensler-led SEC to investigate firms like Sequoia.
Congressional Investigation
Costello argues that the failure to hold Gensler accountable for investigating capital market claims against Sequoia’s China principal, Neil Shen, has major consequences for the United States. In a Senate Armed Services hearing in the summer of 2021, colleague Sen. Dan Sullivan revealed that “everybody knows” in both parties what’s going on with Sequoia’s China affiliate.
Furthermore, Deaton questioned why the Treasury (CFIUS) is meeting with Sequoia when the Department of Justice (DOJ) and SEC have criminal allegations against one of their Global Stewards (MD for China). He asked if that is common practice or if it’s just because they are big donors.
Possible Repercussions
Deaton’s statement raises the possibility of a congressional investigation into Gensler’s leadership at the SEC and the potential consequences that could follow. The SEC’s reluctance to investigate questionable Chinese investments could lead to Gensler’s downfall, and he could be held accountable for the regulatory agency’s inaction.
The claims made by Deaton and Costello could have significant implications for the SEC and the wider financial industry. It remains to be seen how this situation will unfold and what, if any, action will be taken against Gensler or the SEC.
As the situation develops, it will be interesting to see how the SEC responds to these allegations and whether or not they will launch an investigation into Sequoia Capital and Neil Shen.
Chairman Gary Gensler Says SEC Is ‘Neutral’, Calls Staking an ‘Important Innovation’
In its most recent move against the cryptocurrency sector, the Securities and Exchange Commission fined exchange Kraken $30 million for its staking service. The action is making cryptocurrency firms nervous that there might be more to come. Gensler admitted that just a few coins have registered intermediaries but raised concern about the conflicts in their business models.
Gary Gensler, the chairman of SEC, has replied to claims that he is making it harder for the crypto industry to become widely accepted. During an interview with CNBC’s Squawk Box show, Gensler said that while offering cryptocurrency services like loans and staking, crypto intermediaries must give the correct disclosures and security measures mandated by their securities laws.
“Whether it’s through staking-as-a-service, lending, or other means, crypto intermediaries, when offering investment contracts in exchange for investors’ tokens, need to provide the proper disclosures and safeguards required by our securities laws,” he said.
However, he also added that staking is a ‘really important innovation in the cryptocurrency sector. “It allows users to participate directly in running open crypto networks. Staking brings many positive improvements to the space, including scalability, increased security, and reduced carbon footprints,” he added.
One of the biggest cryptocurrency exchanges, Kraken, was accused of violating regulations by offering and selling its staking-as-a-service programme, which allows users to use their own cryptocurrency assets on the site in exchange for a yearly investment return.
In answer to CNBC’s Andrew Ross Sorkin’s question about whether Gensler was concerned that this would encourage investors to stake their bitcoin abroad, Gensler stated that the SEC is technology neutral as long as the technology is registered.
“Using enforcement actions to tell the public what is the law is not an efficient or appropriate method of regulation in a nascent industry. Furthermore, staking services are not uniform, so one-off enforcement actions and cookie-cutter analysis in this Let’s not cut it. A patriarchal and lazy regulator settles on a solution like this compromise,” the chairman said.