Ripple Labs chair and co-founder Chris Larsen made a groundbreaking revelation, urging Congress to take control of the cryptocurrency policy landscape. Moreover, this move marks a significant shift in the future of the crypto industry.
On Sept 7, Larsen expressed his belief that the United States legal system has the potential to rejuvenate the cryptocurrency sector, particularly after what he perceived as flawed handling of crypto policy by the Biden administration.
Larsen made remarks following Ripple’s significant legal victory over the U.S. Securities and Exchange Commission (SEC) in July. Speaking openly to Bloomberg, Larsen underscored that the SEC experienced a resounding defeat. This defeat was particularly on crucial aspects of cryptocurrency regulation that they had previously considered vital.
Larsen shared his perspective on a recent court judgment that favored Grayscale, allowing their Bitcoin trust to be converted into a spot Bitcoin Exchange-Traded Fund (ETF). However, he emphasized the significance of this ruling in reprimanding the SEC, an uncommon occurrence within the legal sphere.
Larsen asserted that it highlighted SEC Chair Gary Gensler’s recognition of the lack of clarity in existing cryptocurrency laws. Furthermore, he claimed that Gensler utilized this ambiguity to exert undue influence by implementing arbitrary rules through bullying tactics.
Larsen Calls For A Paradigm Shift In U.S. Crypto Regulation
Gensler, previously critical of the crypto market and its association with “fraudsters” and “Ponzi schemes,” believed that enforcing securities laws through the SEC would help cleanse it. In contrast, Larsen held a different perspective. He argued that Biden’s crypto policies had hindered San Francisco’s aspirations to be recognized as the “blockchain capital of the world,” allowing global competitors to take its place.
Larsen observed the emergence of new blockchain innovation centers in cities like London, Singapore, and Dubai. He emphasized their well-defined and protective regulatory frameworks. Given its global innovation and technology leadership, why isn’t America leading the way in crypto clarity and growth?
In a final plea, Larsen issued a challenging statement to the United States, urging them to reclaim their role as a frontrunner in the cryptocurrency arena. He urged Congress to take responsibility for crafting comprehensive cryptocurrency policies that prioritize consumer protection and promote innovation. The Ripple-SEC-Grayscale battle outcome will shape US cryptocurrency regulation. The fate of cryptocurrency regulation hinges on this ongoing battle.
Related Reading | Grayscale Pushes for Bitcoin ETF Conversion, Asserts Fair Play
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