Ripple (XRP) CEO Brad Garlinghouse says U.S. Securities and Exchange Commission (SEC) Chairman Gary Gensler will act like a “dictator,” urging elected officials to He urged regulators to pay attention.
girling house commented Regarding the news report, Gensler said that existing rules cover the sector, so no additional encryption laws are needed.
The SEC Chairman made this statement after appearing before the House Appropriations Committee. Gensler told reporters that the SEC can define security and that existing securities laws “cover most of the activities happening in the crypto markets.”
In his view, no legislation by Congress “should not be inadvertently undermined by internal and external definitions, or permissive of conflicts that are inherently unsanctioned by us.”
Garlinghouse Clashes with SEC
Garlinghouse believes these Gensler statements send the wrong message and make him act like a dictator. He said:
“It is beyond comprehension that the chairman of the SEC would argue that it is not the law that determines what a security is and that his agency derives its powers from. came.”
The CEO added that clarification is needed because “ambiguity feigns strength.”
Garlinghouse’s view echoes earlier comments by cryptocurrency officials who expressed concerns about the SEC’s approach to cryptocurrencies.
Recently, the Commission doubled down on its regulatory efforts against the cryptocurrency industry. The commission recently filed a lawsuit against crypto entrepreneur Justin Sun and his company. Financial regulators have also prosecuted cryptocurrency platform Beaxy for failing to register as a domestic stock exchange.
Meanwhile, the legal battle between the SEC and Ripple may be coming to an end, with several crypto lawyers predicting a win for the crypto firm. Jim Cramer, a popular TV personality and Mad Money host, also said regulators could lose.