Regulation
Ripple CLO Slams US for Poor Cryptocurrency Regulation
Stuart Alderoty, Chief Legal Officer (CLO) of the prominent blockchain firm Ripple, has criticized the United States for its inaction in establishing clear regulations for cryptocurrencies. The development underscores the continued calls for the economic superpower to form a stable regulatory framework for digital assets amid consistent enforcement actions by the U.S. Securities and Exchange Commission (SEC).
US Failed to Regulate Cryptocurrencies Well, Says Alderoty
In a post X On Friday, Stuart Alderoty shared his experience at the recent Point Zero Forum in Zurich, Switzerland, on the topic of “Mastering the Maze: Implementing Global Digital Asset Regulations.” Ripple’s CLO said he emphasized the importance of establishing “good” cryptocurrency regulations at the conference, while criticizing the United States for its shortcomings in this area.
Alderoty posted:
Thanks to @PointZeroForum for hosting this great panel in Zurich last week. As I explained: good regulation, when applied consistently, leads to predictable results. Unfortunately, the US fails this test miserably compared to its global counterparts.
Interestingly, Alderoty’s comments on cryptocurrency regulation in the United States only reinforce the general sentiment among American crypto users and institutions that there is a desire for clear regulation to address the peculiarities of the digital asset industry. These demands are particularly driven by the SEC’s ongoing crackdown on several cryptocurrency entities for primarily offering “unregistered securities,” among other offenses. In particular, the securities regulator is currently in court with major cryptocurrency entities including RippleBinance and Monetary base.
With the US presidential election fast approaching, this discontent over proper cryptocurrency regulations has also become a major talking point, as the US is seen as lacking in its pace of cryptocurrency adoption and perhaps in need of a change in leadership. In particular, Republican presidential candidate Donald Trump has Already expressed support for the virtual assets ecosystem, an area in which he believes the United States should be a leader.
For context, the European Union (EU) is preparing to adopt the first phase of its Cryptocurrency Markets (MiCA) regulations set to come into force. Meanwhile, the UK is expected to publish its proposed digital regulations this July.
U.S. House Prepares to Overturn Biden’s Veto of SAB 121
In other news, the U.S. House of Representatives is preparing to overturn President Joe Biden’s veto of the SEC’s Staff Accounting Bulletin (SAB) No. 121, a highly controversial policy requiring financial institutions to document digital assets on their balance sheets. The law is perceived as largely anti-crypto, and its repeal was previously voted down by the U.S. House 228-182 and the Senate 60-38. However, this resolution had to face rejection from Biden.
To effectively eliminate this guidance requirement, some bipartisan lawmakers are now preparing to override the President’s veto, where the repeal order must win the favor of a two-thirds majority of both U.S. legislatures. According to the House Majority Leader Steven ScaliseThe vetoed resolution could be reconsidered on Monday next week, with its success triggering another round of voting.
Featured image from Yahoo Finance, chart from Tradingview