A former federal attorney says the US Securities and Exchange Commission “will stop at nothing to control the entire crypto space”. The SEC has now threatened to sue the Nasdaq-listed crypto exchange Coinbase. The regulator is already in an ongoing process with Ripple Labs and its executives.
SEC is tracking the entire crypto space, says the former federal prosecutor
James K. Filan, a former federal attorney who served nine years in the US District Attorney’s Office, commented on the SEC warning on Coinbase’s lend program on Wednesday.
Filan is a securities dispute and regulatory investigation attorney. He is also a prominent voice in the Ripple community. Filan tweeted:
The SEC will stop at nothing to control the entire crypto space. This is not just about Ripple. Coinbase accuses the SEC of using “closed-door intimidation tactics” to prevent the company from launching a loan program.
Coinbase announced late Tuesday that the SEC threatened to sue the company over its loan product. “The SEC has told us that they consider Lend a security, but do not say why or how they came to this conclusion,” said the Nasdaq-listed crypto exchange.
The crypto community was quick to point out similarities between the SEC’s threat against Coinbase and its enforcement actions against Ripple Labs and their executives for selling XRP. When the SEC sued Ripple Labs, Coinbase was quick to remove XRP from the list. Now the XRP advocates are asking Coinbase to join them against the SEC and re-list the token.
Supporters of XRP and Ripple have long said that the SEC lawsuit is not limited to XRP, but an attack on the entire crypto industry. The SEC is also reportedly investigating the startup that operates the decentralized exchange Uniswap.
Brad Garlinghouse, CEO of Ripple, tweeted on Wednesday: “The SEC’s ongoing war on crypto continues. In December 2020, I said that we had had discussions with the SEC about XRP for almost 3 years, ‘… and never been met with clarity’. Sounds familiar !? “
Stuart Alderoty, a general counsel at Ripple, intervened:
We’re told to get involved in good faith with the SEC … and what do we get? Enforcement actions (or threats) with no clarity. Their preferred method of severe intimidation and inconsistent application of vague rules ends up harming consumers and markets.
Do you agree that the SEC will stop at nothing to control the entire crypto space? Let us know in the comment section below.
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