- A staffer in US Senator Cythia Lummis’ office said the SEC is investigating 40 cryptocurrency exchanges in the US.
- In a recent development in SEC v. Ripple refused the regulator to authenticate or dispute the authenticity of Hinman’s statements
- Analysts believe that XRP has entered an accumulation phase where the altcoin is preparing for a massive rally.
The SEC’s fight against Ripple recently took a bizarre turn after the regulator refused to confirm statements by former SEC Director William Hinman that he said cryptos should not be treated with the same oversight as securities. In a separate development, a source inside the government said the regulator is currently expanding its network to probe over 40 US cryptocurrency exchanges, including Coinbase and Binance.
Also read: Ripple is fighting the SEC with massive growth in cross-border payments
SEC v. Ripple update
In the legal battle between the U.S. Securities and Exchange Commission and Ripple, the regulator has refused to acknowledge or dispute the authenticity of William Hinman’s statements on the definition of cryptos as securities. In a key 2018 speech, the former corporate finance director announced that the commission would not treat Ethereum or Bitcoin as securities. Documents related to his statements have since become important pieces of evidence in the case. Jay Clayton, Chairman of the SEC, recently pointed out the difference between cryptocurrencies and digital tokens. Clayton noted that cryptocurrencies are “substitutes for government currencies” and not securities.
For the defense attorney, it is crucial that the regulator certifies Hinman’s documents. Defense attorney James K. Filan believes the SEC will not agree to Ripple’s permission to authenticate videos of the public statements made by seven SEC officials related to the case. Filan argues that the SEC is trying to reinstate the discovery.
James K. Filan, the defense attorney, shared an update in a recent tweet:
#XRPCommunity #SECGov v. #ripple #XRP Ripple Defendants are seeking permission to serve non-partisan subpoenas to authenticate videos of seven SEC officials’ public statements related to previous RFAs. SEC will not agree and SEC is attempting to resume discovery. pic.twitter.com/2MCbkX01dU
— James K. Filan 108k (Beware of Scammers) (@FilanLaw) August 3, 2022
The SEC is investigating Coinbase, Binance and US cryptocurrency exchanges
The ongoing SEC investigation into cryptocurrency exchanges is another attempt to regulate cryptocurrencies through enforcement. According to Colin Wu, a Chinese journalist, this attempt is not just limited to Coinbase. He cites information from Forbes that a staffer in Senator Cynthia Lummis’ office revealed that the SEC is investigating 40 US cryptocurrency exchanges, including Binance.
吴 获悉 据 forbes 报道 美国 参议员 参议员 cynthia lummis 办公室 一 名 工作 人员 不仅 正在 调查 调查 Coinbase ， 包括 币安 每 家 加密 都 都 调查 阶段 阶段 阶段 阶段。。 https://t.co/BLXDGiG909
— 吴说区块链 (@wublockchain12) August 5, 2022
XRP is entering the accumulation phase
CryptoWhale, a leading crypto analyst, believes that XRP has entered an accumulation phase. Earlier, the altcoin collapsed under selling pressure as the SEC fought a legal battle against the largest public holder of XRP. CryptoWhale believes that XRP price is preparing for a breakout and eventual upward move.
FXStreet analysts have a conflicting view on XRP. They are forecasting a drop in XRP price and arguing that the altcoin could return to stable support levels.