Ripple CEO Brad Garlinghouse is hailing a “Summer of Justice” against the Securities and Exchange Commission (SEC) in light of several recent court victories over the regulator.
According to Garlinghouse, the legal outcomes show an SEC that is “out of control and consistently WRONG on the facts and the law.”
Echoing this criticism, Ripple’s general counsel Stuart Alderoty highlighted how the SEC has been “proven wrong, been called hypocritical, lacking faithful allegiance to the law, and fined for discovery abuses” through the cases.
The statements from Ripple’s executives come after a significant court ruling that required the SEC to reconsider its denial of Grayscale’s proposed Bitcoin exchange-traded fund. This noteworthy decision compounded the recent string of legal defeats for the SEC regarding cryptocurrency cases. By ordering the re-evaluation of the rejected Bitcoin ETF, the ruling represented another major setback for the SEC on top of other recent losses.
Ripple executives believe the series of court losses shows the SEC is overextending its authority and incorrectly applying securities laws to cryptocurrencies. They see the rulings as vindication of their position.
The decision calling the SEC’s rejection of a Grayscale Bitcoin ETF “arbitrary and capricious” could be a turning point for crypto regulation. It comes after Ripple’s own partial win against the regulator.
Bitcoin’s price spiked over $28,000 following the Grayscale news, as reported by Today. However, legal experts say these cases don’t guarantee quick approval of a Bitcoin ETF, since the SEC may have more issues to address and could appeal.
While Ripple’s CEO celebrates a “Summer of Justice,” the path to clear crypto rules remains complicated despite the SEC’s defeats. More legal battles between the agency and digital assets likely lie ahead. The recent rebukes alone don’t preclude that.
