Ripple General Counsel Stewart Aldrotti, who recently acknowledged former SEC chairman, the late Harvey Pitt, in a tweet Expressing gratitude towards his contribution.
He added that Ripple owes a debt of gratitude to Harvey for providing a comprehensive description that the SEC has employed to enforce compliance with securities laws.
Alderoty further cites Pitt’s argument in Tetragon vs. Ripple, noting that it is the responsibility of the court, not the commission, to determine whether the asset qualifies as collateral.
Aldrotti highlights Bett’s report on the SEC’s lawsuit filing process
In the tweet, Alderoty added Pitt’s a report in the fin of a tetragon. Gross Rating Score (GRP). vs. Ripple lawsuit as an attachment. Ripple’s general counsel drew attention to a comment Pete made regarding the SEC’s enforcement action process.
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The report of Pete AN. An enforcement action begins when the Securities and Exchange Commission sues an entity in federal court. He also noted that commissioners who vote for executive action don’t get much involved once litigation begins.
Once the SEC begins legal action, the former chair explained, the committee’s role shifts to that of an advocate for its position. He also asserted that the court has the final authority to determine whether the asset in question qualifies as collateral.
For context, Pitt died in Washington on May 30, 2023, at the age of 78, due to a sudden illness. He became chairman of the SEC in 2001 but resigned after 18 months due to several corporate scandals, including the infamous Enron scandal.
It is worth noting that Pitt served as Chairman of the US Securities and Exchange Commission under President George W. Bush.
SEC vs. Ripple Legal Battle and the Crypto Asset Securities Controversy
It is worth noting that the lawsuit filed against Ripple by the US Securities and Exchange Commission (SEC) lasted more than two years, resulting in Spending ripple About $200 million to respond.
The SEC is accusing Ripple of selling an asset as an unregistered security, while Ripple says the asset should be viewed as a digital currency and not as a security.
In addition to XRP, the Securities and Exchange Commission (SEC) recently designated several other crypto-assets as securities. This list includes ADA, CHZ, SOL, AXS, FIL, ICP, FLOW, NEAR, MATIC, VGX, SAND, DASH, BNB, BUSD, ATOM, MANA, ALGO, and COTI.
Following the SEC’s decision to designate multiple crypto assets as securities, the commission faced several criticisms from the crypto community. SEC Chairman Gary Gensler have confirmed That most crypto assets, with the exception of bitcoin, are considered securities.
However, Gensler did not explain how he came to this conclusion regarding the legal classification of these “most” cryptocurrencies.
Meanwhile, Alderotti said in his recent tweet He said That despite what Gensler said, the SEC does not have a regulatory magic wand to turn any token into a security. He added that he was looking forward to how Congress and the courts could pursue the case.
Featured image from Pixabay and chart from Tradingview.com
