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Ripple Executive Highlights Ongoing Struggles in U.S. Market

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5 months ago

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Ripple Labs is facing significant regulatory hurdles in the United States. Cassie Craddock, the company’s managing director for the U.K. and Europe, recently emphasized the U.S. market’s challenges. While the firm battles with the Securities and Exchange Commission (SEC) over its operations, Ripple sees European regulatory advancements as a beacon of progress.

Ripple CEO Criticizes U.S. Crypto Regulations

The tension between Ripple (XRP) and the SEC affects its operations. The ongoing legal disputes underscore the U.S.’s complex regulatory environment for cryptocurrencies. Brad Garlinghouse, Ripple’s CEO, has voiced frustration over the lack of clear regulatory guidelines, which he believes stifles innovation in the sector. This ongoing struggle highlights the company’s difficulty navigating American regulatory waters, starkly contrasting its experiences in European markets.

Furthermore, Ripple’s Chief Legal Officer, Stuart Alderoty, pointed out the SEC’s recent legal setback, which involved the rescission a 2020 rule concerning proxy advisory firms. This rule, which was never implemented, would have imposed specific conditions on firms providing voting advice to shareholders. Alderoty’s comments link this incident to broader regulatory compliance issues and enforcement challenges faced by businesses under the SEC’s jurisdiction.

Also Read: Consensys Responds to SEC Lawsuit Over MetaMask, Here’s All

EU Advances with Clear Crypto Guidelines

In contrast to the U.S., Ripple has welcomed the introduction of the Markets in Crypto-Asset Regulation (MiCA) in the European Union. This framework, which initially came into force in mid-2023, aims to provide clear guidelines for the cryptocurrency industry. Craddock expressed optimism about MiCA, noting that it offers much-needed clarity for market participants. Although some ambiguities remain, the overall sentiment among Ripple executives is optimistic regarding the European regulatory landscape.

However, Marina Markezic, a leader at the European Crypto Initiative, has shared concerns about clarifying the MiCA provisions. The diverging approaches of the U.S. and EU towards cryptocurrency regulation are becoming increasingly evident. While the EU moves forward with definitive regulations encouraging industry growth and innovation, the U.S. remains embroiled in legal and regulatory complexities.

Also Read: Hong Kong’s Securities Regulator Flags Three Crypto Firms For Fraud

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Maxwell is a crypto-economic analyst and Blockchain enthusiast, passionate about helping people understand the potential of decentralized technology. I write extensively on topics such as blockchain, cryptocurrency, tokens, and more for many publications. My goal is to spread knowledge about this revolutionary technology and its implications for economic freedom and social good.

The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.





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Regulation

Chris Giancarlo Dispels US SEC Chair Candidacy Rumor

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20 hours ago

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November 14, 2024

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Amid the ongoing race to replace Gary Gensler as the Chairman of the US Securities and Exchange Commission (SEC), Chris Giancarlo has dispelled rumors that he’s under consideration for the job. Known as “Crypto Dad,” Chris Giancarlo’s name popped up as one of the high-profile regulators capable of replacing the US SEC chair.

US SEC Chair and the Chris Giancarlo Clarification

Besides the general change in leadership that comes with a new administration, Donald Trump plans to fire Gary Gensler right from his first day in office. With Trump’s victory over Kamala Harris, it becomes evident that Gensler is in his last days in office.

Commenting on the trend and his prospect for the role, Chris Giancarlo said he once cleaned up Gensler’s mess at the Commodity Futures Trading Commission (CFTC) and has no plans to do it again. It is worth noting that before taking up the US SEC Chair position, Gensler served as the CFTC Chairman from May 26, 2009, to January 3, 2014.

Chris Giancarlo took over from him as CFTC Commissioner on June 16, 2014, for a term expiring on April 13, 2019. He bagged President Donald Trump’s nomination for a full-time role on August 3, 2017. Having served in the same capacity as Gensler, the Crypto Dad said the DC rumors are wrong.

Beyond the US SEC tag, Giancarlo has also debunked claims that he’s in line for the US Treasury Secretary role.

Who Will Replace Gary Gensler? 

Many named Chris Giancarlo a good fit for the SEC chairman role because of his advocacy work in the industry. As reported earlier by Coingape, even pro-XRP lawyer turned-politician John Deaton once endorsed Giancarlo for the Chairmanship role.

As Chris Giancarlo dispelled the rumors, John Deaton noted that the callout shows the damage Gensler did to both the SEC and CFTC.

With Crypto Dad ruling himself out, the top picks now include current SEC Commissioners Mark Uyeda, Hester Peirce, and Robinhood CLO Dan Gallagher, who are the leading candidates for the role. While President Trump may choose a completely new name, what the industry places a premium on is someone with a pro-crypto mindset.

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Godfrey Benjamin

Benjamin Godfrey is a blockchain enthusiast and journalists who relish writing about the real life applications of blockchain technology and innovations to drive general acceptance and worldwide integration of the emerging technology. His desires to educate people about cryptocurrencies inspires his contributions to renowned blockchain based media and sites. Benjamin Godfrey is a lover of sports and agriculture.

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Disclaimer: The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.





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Gary Gensler Reaffirms Crypto Regulatory Stance Amid Resignation Calls

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21 hours ago

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November 14, 2024

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Ahead of Donald Trump’s team taking office, US SEC Chair Gary Gensler has reiterated his commitment to regulating the cryptocurrency market, stating that stricter oversight is necessary to protect investors. Speaking at the Practicing Law Institute’s Annual Institute on Securities Regulation in New York, Gensler highlighted the importance of clear “rules of the road” for the industry. 

Gensler has also pointed out that many of these assets are securities and should, as such, be regulated by existing securities laws, which include the disclosure and registration rules.

US SEC Chair Gary Gensler’s Stance on Crypto Regulation

US SEC Chair Gary Gensler has argued that the cryptocurrency market needs regulatory safeguards similar to those in traditional financial markets. He emphasized that while Bitcoin is the only asset that does not fall under the category of securities, other forms of digital assets should be considered securities based on the current legal framework.

Gensler said, “Court after court has agreed with our actions to protect investors,” pointing out that the SEC is empowered to implement these laws in the crypto sector.

Gensler pointed out that most other digital assets outside of Bitcoin have yet to demonstrate clear utility and could potentially threaten investors. His comments are made just as a last attempt to build regulatory frameworks before the new Trump administration takes office, with candidates like Robinhood CLO Dan Gallagher emerging as the leading candidates to replace Gensler.

Gary Gensler Highlights SEC Accomplishments

In his speech, US SEC Chair Gary Gensler outlined some of the regulatory measures he has implemented since taking office. He mentioned new requirements for enhancing the quality of information companies provide, such as those concerning executive compensation and data breaches. 

Gensler also discussed improvements in market infrastructure, including the accelerated settlement period for stocks and stricter rules for Treasury clearing.

Besides his achievements, Gensler also mentioned that he was proud of his work at the SEC, calling it “a remarkable agency.” He thanked his colleagues and noted that the US SEC will still play a significant part in ensuring that there are proper protections for investors in the United States. Gary Gensler’s comments amid speculations that he could resign this week.

Resignation Calls and Future of the SEC

Since Donald Trump’s re-election, Gary Gensler has come under pressure to resign, including from ex-SEC official John Reed Stark. Stark, an outspoken opponent of Gensler’s regulation of the cryptocurrency industry, said that Gensler should leave the position to make it easier for the new SEC chairman to come in. 

Gary Gensler has, however, not given any signs of quitting his position despite the calls for his resignation. Some have opined that he may resign in the event that Trump appoints a new SEC chairperson with a friendly disposition towards cryptocurrencies. Donald Trump has expressed his desire to create a conducive environment for cryptocurrency, which will lead to changes in the agency’s policies and the firing of Gensler.

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Kelvin is a distinguished writer with expertise in crypto and finance, holding a Bachelor’s degree in Actuarial Science. Known for his incisive analysis and insightful content, he possesses a strong command of English and excels in conducting thorough research and delivering timely cryptocurrency market updates.

Disclaimer: The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.





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Coinbase CEO Slams DOJ For Alleged Political Polymarket Probe

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2 days ago

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November 14, 2024

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Coinbase CEO Brian Armstrong has criticized the Department of Justice (DOJ) for its recent investigation into Polymarket, a cryptocurrency-based prediction market platform. Armstrong expressed frustration on social media, suggesting that the DOJ’s actions are politically motivated and could inadvertently strengthen Polymarket’s influence. 

The ongoing probe, which involved a search of Polymarket CEO Shayne Coplan’s devices, has sparked widespread debate in the cryptocurrency and technology sectors.

Coinbase CEO Brian Armstrong Criticizes DOJ

In a post on X (formely Twitter), the Coinbase CEO Brian Armstrong, has given his two cents on the Polymarket probe. Amid an FBI raid, Polymarket is said to have violated the terms of its earlier settlements with U.S. regulators by permitting U.S.-based users to place bets, the DOJ probe of the platform suggests. 

A 2022 consent order with the Commodity Futures Trading Commission (CFTC) limited Polymarket’s access to US-based traders and the company paid a $1.4 million penalty. But latest findings suggest that US users might still be using the platform hence raising compliance issues.

The probe has picked up pace after a surge in election-related trades on Polymarket particularly those in favour of Donald Trump’s re-election. Critics, however, despite the Coinbase CEO comments, have expressed fears that such big bets can manipulate the general opinion. 

Polymarket has however said it takes steps to ensure that its services are not used by those based in the United States, but the DoJ’s investigation indicates that the company remains concerned about potential violations.

Polymarket Denies Political Motivations, Defends Its Operations

In reaction to the DOJ’s actions, Polymarket has come forward to explain that its platform is a tool that aids people in gaining information about the world, including elections. 

The company called the DOJ’s actions politically motivated and said that the company would fight for “itself and its community.” Polymarket’s CEO Shayne Coplan commented on the matter stating that it was a disappointing “last-ditch effort” by the current administration to go after companies they feel are linked to political opponents.

He highlighted that Polymarket does not take sides, saying that regulators should instead concentrate on creating a favorable climate for business and startups.

“Polymarket has helped hundreds of millions of people during this election cycle and has not hurt anyone,” Coplan said in a tweet.

The management of Polymarket also emphasized the openness of the platform and the unwillingingness to violate current legislation. Since the CFTC settlement, the company has put in place further measures to check the location of users and to limit the access of suspected US participants.

French Regulators Also Scrutinize Operations

However, there are more regulatory concerns for Polymarket than just the US ones. In France, the country’s gambling regulator, the ANJ, is reportedly mulling over the possibilities of banning Polymarket due to unlicensed gambling services. The French authorities have taken notice of the company after recording a surge in the number of bets placed during the US presidential election.

In particular, the response of Coinbase CEO, to the DOJ investigation has been popular among the cryptocurrency community who consider the probe as a threat to free speech. 

Solana co-founder Anatoly Yakovenko also came out in support of Polymarket, saying that data markets are a form of “political speech” covered by the First Amendment. This view is supported by a number of crypto industry executives who claim that banning platforms like Polymarket hampers people’s ability to discuss political events.

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Kelvin Munene Murithi

Kelvin is a distinguished writer with expertise in crypto and finance, holding a Bachelor’s degree in Actuarial Science. Known for his incisive analysis and insightful content, he possesses a strong command of English and excels in conducting thorough research and delivering timely cryptocurrency market updates.

Disclaimer: The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.





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