Amid surging spot Ethereum ETF rumors, Ripple CLO Stuart Alderoty has called SEC Chair Gensler a βstruggling political liability,β suggesting political motives behind potential SEC moves.
In what could be a pivotal moment for the U.S. Securities and Exchange Commission (SEC), Rippleβs Chief Legal Officer, Stuart Alderoty, suggests that SEC Chair Gary Gensler is risking his position by becoming a βstruggling political liability.β
Alderoty criticized Genslerβs approach, stating that “he thought crypto was an easy target,” but eventually “overplayed his hand.” Alderotyβs statement came amid rumors about the SEC potentially approving a spot Ethereum exchange-traded fund (ETF), a move perceived by many in the crypto industry as a bid to court voters.
He thought he was above Congressional oversight. Thatβs all gone. Heβs now a struggling political liability.
As Chris Brummer, professor of law and Faculty Director of Georgetownβs Institute of International Economic Law, noted, this might be βthe first time the SEC has become a subject of presidential politics.β
I donβt recall ever a presidential candidate mentioning the Chair of the SEC by name. I also donβt remember a sitting President threatening preemptively to veto Congressional legislation about the SEC.
Norman Wooding, the CEO and Co-Founder of Switzerland-based and regulated crypto financial service provider, SCRYPT, mentioned that the potential approval would serve as a βcatalyst for other crypto-related products and innovations,β adding that the approval βwould likely attract a larger pool of institutional investors, driving significant capital inflows into Ethereum and potentially boosting the entire altcoin market.β
The speculation surrounding the spot Ethereum ETF approval gained traction despite the SECβs previous stance against greenlighting any new crypto-related spot ETFs. This development intensified the competition between the Biden administration and former president Donald Trump, particularly in the context of their contrasting approaches to crypto regulation.
As the 2024 elections approach, the clash between Trumpβs crypto-friendly stance and Bidenβs hesitancy becomes a focal point in a heated political battle. Despite indications from the Biden administration that it remains steadfast in adhering to the SECβs stance on crypto regulation, the pressure from crypto voters seems to be intensifying as the SEC gears up to potentially approve spot Ethereum ETFs in the coming weeks.
Stay updated with the latest cryptocurrency news and trends on Global Crypto News.