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NEWSLETTER SIGNUP My account Log Out Jul 18, 4:56 AM EDT Business Technology World National Politics Media & Culture Opinion Sports Social Capital Crypto NEWSLETTER My account Log Out US Edition Business Technology World National Politics Media & Culture Opinion Sports Social Capital Crypto Listings & More Spotlight Glossary Editions Australia Edition India Edition International Edition Singapore Edition United Kingdom United States NEWSLETTER Follow Us Editions Australia Edition India Edition International Edition Singapore Edition United Kingdom United States Crypto Crypto Business Gensler 'Disappointed' With XRP's Non-Security Tag, Suggests More Crypto Enforcement By Nica Osorio @nicaIBTimes 07/18/23 AT 4:56 AM EDT Share on Facebook Share on Twitter Share on LinkedIn Share on Reddit Share on Flipboard Reuters Gary Gensler, the current chairman of the U.S. Securities and Exchange Commission (SEC), finally said his piece on the recent court ruling in the Ripple Labs' lawsuit. Expressing disappointment at XRP's non-security tag, he assured consumers that more enforcement is in the offing. Ripple Labs' partial but monumental win generated mixed reactions from the cryptocurrency industry and regulators, especially from Gensler. He shared that while the commission was pleased with the court's decision that protected institutional investors, Judge Analisa Torres' decision on retail investors, however, was more of a bone of contention. "We're pleased from that decision recognizing the importance of protecting investors on the institutional investors," the SEC chairman said Monday at a National Press Club luncheon where he discussed artificial intelligence (AI), before adding, "While disappointed in what they said about retail investors, we're still looking at it and assessing that opinion." Last week, Ripple Labs scored a major victory for the cryptocurrency industry in its legal battle against the financial regulator after the court ruled that institutional sales of XRP, the native token of the Ripple blockchain, violated federal securities law, but programmatic sales and sales on exchanges did not fall as a sale of securities. According to the court, the U.S. SEC cannot say for certain that speculative investors have "a reasonable expectation of profits to be derived from the entrepreneurial or managerial efforts of others." "So what's next? We're going to continue to try to bring firms that may not be into compliance without prejudging any one of them and trying to ensure that we protect the investing public," Gensler said. "There's ongoing litigation with a number of these crypto platforms and these platforms are commingling a number of services that you've seen on these crypto platforms where they could well be trading against their customers, bundling up a bunch of services that we would not allow in any other parts of our capital markets," the SEC chairman said in an interview with Yahoo Finance. The SEC sued Ripple Labs and some of its executives in 2020, with the case finally getting a summary judgment after almost three years. Last month, the major Wall Street regulator sued two of the world's biggest centralized cryptocurrency exchange platforms by trading volume, Binance and Coinbase. Read more US Lawmakers Call For Investigation Into Digital Asset Firm Prometheum's Alleged Ties With China SEC Turns Down AI-Generated Rumors About Gary Gensler's Resignation Ripple CEO Claims Legal Battle With SEC Is 'Coming To A Close' REGISTER FOR FREE to continue reading ✔️ Unlock the full content of International Business Times UK for free offer available for a limited time only ✔️ Easily manage your Newsletters subscriptions and save your favourite articles ✔️ No payment method required Already have an account? Log in © Copyright IBTimes 2023. All rights reserved. Join the Discussion MOST READ IN Crypto 1 Binance Lays Off 1,000 Employees, Could Cut Thousands More Jobs Amid DOJ Probe: Reports 2 Ripple CEO Says SEC 'Sowed Confusion In The Market,' Regulator's Appeal Could Take 'Years' 3 SEC Throws Shade On Coinbase Compliance As Judge Seemingly Aligns With CEX 4 Crypto Will 'Transcend' US Dollar, Other Traditional Currencies, BlackRock CEO Predicts 5 Bitcoin To Reach New Heights But Will See Downturn First, Says Top Crypto Trader NEWS Business Technology World National Politics Media & Culture Opinion Sports Crypto Featured Social Capital Glossary SMB Forum Spotlight ABOUT About Us Contact us Advertise with us Terms & Conditions Privacy Policy Cookie Policy Editions United States Australia Brazil Colombia France Germany Indonesia India International Italy Japan Editions Nigeria Philippines Singapore South Africa South Korea Spain Mexico Taiwan United Arab Emirates United Kingdom FOLLOW US Facebook Twitter LinkedIn Newsletter © Copyright 2023 IBTimes LLC. All Rights Reserved.
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