Ripple has presented its response to the SEC's request on cryptocurrency industry regulation, offering a detailed analysis and critique of the existing processes.
Ripple and Cryptocurrency Regulation
Today, Ripple submitted its response to the SEC, addressed to Commissioner Hester Peirce, known for her favorable stance towards the crypto industry. Ripple's response was prepared as part of the SEC's official request for information.
Ripple's Response
Ripple provided a detailed document critiquing the lack of necessary guidance and the prolonged legal proceedings under Chairman Gensler. The company asserts that the SEC can only regulate assets considered as 'securities'.
Critique of Investment Contract Concept
Ripple criticized the SEC's broad interpretation of the 'investment contract' concept, which hinders the development of the cryptocurrency sector. A legal precedent is cited: 'The SEC’s authority is limited to that granted by Congress.'
Ripple's response illustrates the complex and prolonged regulatory processes in the cryptocurrency field and highlights the need to revisit regulatory approaches.
