SEC has shelled crypto companies, will they ever win?
The SEC has targeted crypto companies like Coinbase, Uniswap, and Ripple, and all of them face regulatory threats from the regulator, but can they get on the same page? Find out more in our latest crypto news.
When Coinbase CEO Brian Armstrong recently tweeted that the SEC was threatening a lawsuit if the company launches the highly profitable product Lend, Ripple CEO Brad Garlinghouse reacted quickly and was just 90 minutes from the tweet “Hard,” as Bruce Willis “Welcome To The Party Pal” said, suggesting that Ripple has been battling the SEC for over a year. Mark Cuban also had a message for Armstrong, saying he had to continue the attack with the regulator. Cuban declined to broaden his views, but it could be argued that Armstrong was playing an insult with the tweets. He accused the regulator of intimidation tactics behind closed doors and concluded:
“It’s great when you run [guidance] evenly across the industry. “
However, what happens next does not determine the tweets as the leading companies in the crypto industry are attacked and begin to fight back when they demand a fair set of rules and consistently clarify what is legal and what is not. You have one point, however. Ripple’s battle with the SEC begins with whether the XRP token sale is an unregistered security offering, but why has the SEC waited so long to pursue it? Ripple sold XRP for eight years before the lawsuit, so why wait?
– Brad Garlinghouse (@bgarlinghouse) September 8, 2021
Regarding Coinbase, the SEC has crypto companies on its radar, claiming the exchange was trying to deliberate on making their proposed lend product as secure as possible for investors. According to Armstrong, the agency won’t speak to them. There is also Uniswap, one of the most famous and transparent companies in the DeFi sector. The SEC chose it as a target of the investigation and looked into how lawyers Jake Chervinsky documented other “public scams,” pump-and-dump programs, and carpet-drawing. No wonder Armstrong and others had enough and concluded that it was better to roll the dice in court than to keep waiting for the SEC to come up with a regulatory framework.
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