Ripple CLO Discusses What’s Next, Remains Hopeful About Atkins
Ripple’s ongoing legal battle with the U.S. Securities and Exchange Commission (SEC) has attracted attention from the crypto industry. The case began in 2020, surrounding accusations of Ripple Labs of failure to register its XRP token as the security of the SEC. But Ripple’s chief legal officer (CLO), Stuart Alderoty, recently shared his thoughts on the recent regulatory shift in the case.
When asked about the latest developments in the case, Alderoty said Ripple did not accuse fraud, market manipulation or consumer harm. In fact, he noted that the SEC could not identify any particular victims of alleged wrongdoing or evidence of any financial loss. Instead, the lawsuit stems mainly from what Ripple claims is not registered on the SEC, despite the fact that there was no clear mechanism for the cryptocurrency company at the time.
Alderoty describes the case as part of a broader “crypto war,” a regulatory approach under the previous government that attempts to stifle growth in the cryptocurrency industry through aggressive law enforcement actions. In this case, Ripple spent more than $150 million, in this case for four years.
What’s next for ripple?
After the transfer of power, the SEC’s position has begun to change. In the last few days of the Trump administration, the Securities and Exchange Commission (SEC) appealed in the case, filing a summary of the opening ceremony five days before the inauguration. But with Paul Atkins confirming expectations for the new SEC president, Alderoty hopes that the new leader will take a more measured approach and rethink the merits of such litigation Essence
Ripple’s legal team is still moving forward, preparing to file a responsive summary in the Second Circuit Court of Appeals. But Alderoty sees the ongoing case as background noise in Ripple’s strategic grand plan. He also expressed his belief that continuing these lawsuits, particularly those involving “non-fraud, harmless crime” charges, was a waste of taxpayers’ money and regulatory resources.
