Gensler Called ‘Worst Public Servant’ In Scathing Remarks By Ripple Co-Founder

by

As a seasoned crypto investor with over a decade of experience navigating the digital currency market, I’ve seen my fair share of regulatory battles and courtroom drama. The ongoing saga between Ripple Labs and the Securities and Exchange Commission (SEC) has been nothing short of captivating, especially given my personal interest in XRP as a valuable addition to my crypto portfolio.

As a researcher, I’m closely following the ongoing dispute between the principal figures at Ripple Labs and the Securities and Exchange Commission (SEC).

Recently in the ongoing Ripple vs. SEC case, Ripple’s co-founder, Chris Larsen, made a pointed criticism of SEC Chairman Gary Gensler, labeling him as “the most subpar public servant in history.

In a recent CNBC interview, Larsen expressed his opinions about Gensler, having previously criticized the country’s crypto policies as unsuccessful. Moreover, he announced his intention to back Kamala Harris’ political campaign.

Instead of directly expressing agreement or disagreement about removing Gensler from his position, Larsen expressed his skepticism towards Gensler and the Federal Trade Commission’s Lina Khan without providing a clear answer on this matter.

 

Ripple And SEC: A History Of Suing And Counter-Suing

The disagreement between Ripple and the SEC can be traced back to late 2020 when Larsen and Ripple’s CEO, Brad Garlinghouse, were named as defendants in the SEC’s lawsuit. The SEC claims that the pair assisted and allowed potential violations of securities laws by Ripple.

.@Ripple Chairman Chris Larsen calls Gary Gensler

The worst public servant in U.S. history

— 𝗕𝗮𝗻𝗸XRP (@BankXRP) October 26, 2024

In the legal dispute between the Securities and Exchange Commission (SEC) and Ripple, the SEC claimed that Ripple illegally sold unregistered securities. However, Rippe counters by stating that XRP should not be classified as a security, using remarks made by the SEC’s director in the past to support their argument.

By October 2023, the company requested the court to drop the accusations against them. Garlinghouse expressed his belief that the agency aimed to tarnish his personal reputation.

SEC Goes After Ripple (Again), Then A Ripple Counter-Appeal

According to a court decision in July 2023, the sale of Ripple’s token to institutional investors was found to be against current securities regulations. However, the judge determined that Ripple’s automated sales to retail platforms were deemed legal.

Approximately two months following the judge’s decision, the agency swiftly submitted an appeal. In their Form C submission, the agency indicated their intention to persist in pursuing the Ripple executives.

Following the SEC’s appeal, Ripple subsequently lodged a counter-appeal. The submission of Form C occurred shortly after the company leaders declared their intention to leave no stone unturned in their defense strategy.

Gensler’s Tough Stance On Crypto

There was widespread optimism within the cryptocurrency sector about what lay ahead with Gensler as the leader, given his proficiency with technology, high profile in academia, and previous experience teaching a blockchain class at the Massachusetts Institute of Technology (MIT).

On the other hand, Gensler took a firm approach towards cryptocurrencies, initiating actions such as the crackdown on Binance and Coinbase.

Over the past few years, the Securities and Exchange Commission’s (SEC) crusade against Ripple has sparked significant interest within the industry. The tough stance taken by SEC chairman, Gensler, on cryptocurrencies, particularly Ripple, has ignited much debate and passionate discourse.

Brad Garlinghouse of Ripple has previously criticized Gensler, pointing out that his actions are hindering the advancement of cryptocurrency, and he’s also expressed disappointment that the agency didn’t take action to prevent the fall of FTX.

Read More

2024-10-28 05:12