Brad Garlinghouse, the Ripple founder slammed SEC over its crypto “clarity” and compared it to an alcoholic denying to have a drinking problem so let’s read more in our latest Ripple news.
Earlier this week during the Aspen Security Forum, the annual three-day conference for global leaders to discuss some of the key national security issues, Brad Garlinghouse addressed the lack of clarity in the crypto industry and the regulation in the US. Garlinghouse commented on the US Securities and Exchange Commission chair Gery Gensler discussion on the matter which took part earlier in the conference is personally a defendant in the case filed by the agency alleging that Ripple’s sale of XRP was unregistered security offering worth more than $1.38 billion:
“In my judgment, if you’re dealing with an alcoholic that doesn’t want to admit they have an alcohol problem, to say that we have certainty, we have clarity, is like the alcoholic saying ‘I don’t have a problem’. This is the elephant in the room. For years I think the crypto industry has asked for that clarity, and yesterday we heard ‘it is clear.”
He mentioned a recent paradox when the SEC Commissioners stated that there’s a lack of clarity for market participants around the application of the securities laws to digital assets and their trading. He reflected on other G20 markets like Japan, Switzerland, UK, and Singapore that were engaged and pointed out that addressing this regulatory clarity issue is a prerequisite for the US if it wants to become a leader in the crypto space. Garlinghouse said:
“Being a company based here in the US, I want to see the US thrive in this area. I want to work with the US government to provide clarity, to provide certainty. But trying to provide that clarity through enforcement action is not, I think, the right answer.”
When asked about the timing of clarity on crypto regulation, Gensler added that the agency has been clear on this stuff and added that the SEC has brought 75 cases in this sector. Garlinghouse took the opportunity to point out that 37 of those cases didn’t involve the sale of digital assets and another 37 cases were ICOs and most of them were a fraud. The Ripple founder slammed SEC yet again because of the lack of clarity while Gensler added:
“Only one of the 75 involves a digital asset outside of an ICO. And for obvious reasons, I’m not going to talk too much about that case.”