Crypto's long fight with the SEC involves an end with the Ripple victory

The years of the recurities and Exchange Commission against the crypto industry appears to be over.

The last chapter concluded on Wednesday when Ripple announced that the SEC officially dropped their 4 -year lawsuit against the corporate. The lawsuit, which was submitted to Jay Clayton's last day as a second chairman, accused Ripple of collecting 1.3 billion US dollars by selling his XRP token without registering them as security.

Crypto company and stock exchanges Coin baseScraw, RobinhoodBinance and OpenSea all previously seen complaints or investigations that were deleted, solved or stopped. Ripple is now getting a round of victory.

“Ripple stands alone as the company that has been repellent – and gained essential legal questions – a large wrench in the plans of the SEC to destroy crypto in the USA by enforcing,” Stuart Alderoty, Chief Legal Officer from Ripple, told CNBC in an e -mail declaration. “The SEC has now given up its attraction in our case. In a suitable irony, Ripple was the first big case they brought with them and will now be the last one they go away.”

XRP was created in 2012 as one among the primary non-Bitcoin cryptocurrencies. It began by the founders of the Ripple company and have become the native currency of the platform. Like Bitcoin, XRP may be bought and sold by retail investors. XRP After the announcement on Wednesday, around 11%rose.

Ripple spent 150 million US dollars against the federal government in a blue legal conflict with the previous Secl chairman Gary Gensler, whose approach to crypto was widely considered hostile. In July 2023, a federal judge decided that XRP was “Not necessarily a security on his face”, “ Subtuiting the inspiration of the case of the sec.

The victory was not just a turning point for Ripple. It signaled the crypto industry that the sheet was turning and built a dynamic for a movement that contributed to returning President Donald Trump, a former crypto critic, to the White House. One year after the judge's judgment, Trump, as a Republican candidate at the annual Bitcoin conference, delivered a keynote and announced that he “explained my plan to be sure that the United States could be the crypto capital of the planet and the Bitcoin superpower of the world”.

Ripple and his crypto colleagues were important participants in Trump's campaign. The president spent his first two months in office who repayed them.

On Friday, the SEC organized its first big crypto -roundtable and signaled a new approach to regulation through commitment than enforcement. The effort of the effort is Hester Peirce, who heads the newly established crypto -act force of the regulatory authority.

Peirce's message to the industry is that the SEC is no longer an opponent, but instead tries to give crypto a clear, rightful framework.

In an important reversal of politics, the SEC raised the bulletin 121 of personnel bookkeeping – a controversial rule that the banks asked for the treatment of crypto assets as liabilities for its balance sheets. The rule was introduced in 2022 and used by Gensler. The rule was widely regarded as a great obstacle to the institutional introduction of Bitcoin and other digital assets.

“Bye, bye SAB 121! It was no fun”, Peirce wrote on in a post on X After the change was announced in January.

In the World Economic Forum in Davos, Switzerland this month, CEOs from CEOS Goldman SachsPresent Morgan StanleyAnd Bank of America signaled that thawing in Washington could lead to another crypto engagement.

And in the White House there were David Sacks, Trumps Ki and Crypto Czar next to the president when he signed an executive regulation on digital assets. Sacks recently took part in the inauguration of the Kryptoball, where he explained: “The war against crypto is over.”

Coinbase's lawsuit was rejected in February. Then got here octopus. The sec withdrawn From his Wells decision against Robinhoods Krypto division. The examination of Binance is on hold.

Ripple's Legal Team argued for a long time that the strategy of the SEC was not about maintaining the law, but about using it as a blunt instrument. The supervisory authority sent lectures to foreign supervisory authorities who worked with Ripple, documents from business partners and even cloudy laminated CEO Brad Garlinghouse and co -founder Chris Larsen personally. These fees were also dropped.

“While this chapter is closed, the struggle for clear, fair and transparent crypto regulation continues,” Alderoty told CNBC. “Ripple will proceed to run this fight.”

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