Amid the ongoing regulatory tensions, Ripple continues to expand its influence within the financial technology space.
Ripple Chief Legal Officer (CLO), Stuart Alderoty, has come out in the open to criticize the US Securities and Exchange Commission (SEC). This follows after the regulator recently announced how much it realized in financial remedies during the fiscal year 2024.
According to the SEC, 2024 has been a record year for the agency. That is, in terms of the amount of fines it collected and the number of enforcement actions it took. In total, the SEC claims to have collected $8.2 billion worth of fines so far, while also boasting of 583 enforcement actions that it took in the year.
Meanwhile, despite these new records in the agency’s history, Alderoty has not been the least impressed. The Ripple executive noted that the SEC does not have any bragging rights after what was a generally flawed approach that it took in its numerous lawsuits.
Ripple CLO Challenges SEC’s Approach
Taking to X on Tuesday, Alderoty likened the SEC’s announcement to a professor taking pride in the fact that there was a mass failure from his students like never before in the history of a school. Or that a professor gladly approves that the highest rate of cheating scandals was recorded during his time.
He argued that these numbers are not something to be boastful about. Rather, they should help the agency to reflect on issues within the system, Alderoty suggested.
According to him, the SEC should be more concerned about providing clarity and guidelines for the crypto sector. That is, as opposed to the punitive actions that the agency has made a priority.
Meanwhile, the SEC also has other claims for success under Chair Gary Gensler. Particularly, with its enforcement division, which has now reportedly helped to promote the integrity of capital markets to benefit investors.
However, Alderoty and other critics would beg to differ. Per the critics, which include many investors, the agency’s aggressive approach has actually done more harm than good to the very people that the SEC claims to protect.
In view of this, many have even tagged Gensler as possibly the worst SEC Chairperson in the history of America. At least, in terms of his effectiveness.
Firm Launches Tokenized Money Market Fund
Amid the ongoing regulatory tensions, Ripple continues to expand its influence within the financial technology space. As Coinspeaker reported earlier, the firm recently partnered with UK-based asset manager Abrdn and crypto exchange Archax to launch its first tokenized money market fund XRPL.
Without a doubt, Ripple is choosing not to allow even the ongoing challenges from regulators to hold it back from innovating. Interestingly, that is a decision that might be paying off in several ways.
Majorly, there is growing optimism around the XRP XRP $1.93 24h volatility: 2.9% Market cap: $116.52 B Vol. 24h: $3.90 B token widely used in Ripple’s solutions. The data shows that XRP futures’ open interest has now surpassed $2.5 billion. In addition, large-scale investors, or “whales,” have accumulated over 250 million XRP during price dips.
With the increasing trader activity, speculation about a potential rally to $20 is now in high gear.
At the time of writing, XRP was seen trading at $1.33, marking a 10% drop in the last 24 hours.
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