Ethereum
SEC decision ignites fury in XRP community
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The Securities and Exchange Commission (SEC) is likely to close its investigation into Ethereum, according to a recent announcement from Consensys, the developer behind the MetaMask wallet.
The company revealed that it sent a letter to the SEC in early June seeking confirmation that approval of a May spot Ethereum ETF marked the end of the regulatory case against the leading altcoin.
This development has sparked mixed reactions in the crypto market. As Ethereum’s apparent regulatory clearance led to a rebound in cryptocurrency prices after a prolonged decline, the XRP community reacted with frustration and skepticism.
Ethereum Gets Green Light from SEC, XRP Fans See Red
As recalled, there is a long-standing “feud” between XRP and ETH, centered on allegations that Ethereum received preferential treatment from the SEC, to the detriment of XRP and other cryptocurrencies, often referred to as “ETHGate”.
Bill Morgan, a prominent XRP enthusiast and advocate, has expressed his displeasure with the preferential treatment given by the SEC to the leading altcoin. He noted that the recent ruling marks Ethereum’s second “free pass” from the SEC, highlighting what he sees as arbitrary and inconsistent regulatory practices.
The controversy surrounding Hinman’s speech, in which former SEC Director William Hinman said that Ethereum was not a security, is a key point of contention. Morgan believes that this speech set a precedent that unfairly benefited ETH, while allowing Ripplethe company associated with XRPopen to legal challenges.
Other XRP supporters have echoed these sentiments, with some calling for legal action against the SEC and alleging that the Ethereum community has used its financial influence to achieve favorable regulatory outcomes.
About the Author
Gamza Khanzadaev
Financial analyst, trader and crypto enthusiast.
Gamza graduated with a degree in finance and credit with a specialization in securities and financial derivatives. He then also completed a master’s program in banking and asset management.
He wants to participate in covering economic and financial technology topics, as well as making more people aware of cryptocurrencies and blockchain.