US House of Representatives Brad Sherman has asked the US Securities and Exchange Commission (SEC) to track the major crypto exchanges that trade xrp, which regulators consider to be securities. “It’s easier to chase small fish than big ones, but the big fish that run major exchanges have made tens of thousands of deals with xrp,” said Congressman.
U.S. legislators urge SEC to focus on major crypto exchanges
Rep. Brad Sherman (D-CA), chairman of the House Financial Services Subcommittee on Investor Protection, held a hearing on Wednesday and the US Securities and Exchange Commission (SEC) addressed new risks to investor We considered efforts to protect.
At the hearing, Sherman, a senior member of the Foreign Affairs Committee, asked Guruville Grewar, the executive director of the SEC,: XRP And tether.
A lawmaker told Grewal: XRP because XRP Security. But you haven’t done all the major cryptocurrency exchanges that have processed tens of thousands, if not much more. [XRP] transaction. He emphasized:
If XRP Is security, you think it is, and I think, why are these crypto exchanges not in violation of the law?
He went on: “And it’s enough that the crypto exchange has committed tens of thousands of violations in the past and we promise not to do any more in the future.” Is it enough to unhook you for execution? “
The SEC director replied:We brought a replacement case, we brought one for last year Poloniex.. “
Sherman replied:
It’s easier to chase small fish than big fish, but the big fish that run major exchanges XRP..
He added: That means they were operating the stock exchange illegally. They know it’s illegal, even if it’s beneficial, because they stopped it. So if they know it’s illegal, you know it’s illegal, and I know it’s illegal, I hope you focus on it. “
Pay attention to the stablecoin tether (USDT), Sherman said, “And finally, in every respect, we have a money market mutual fund, Tether.” He recently USDT “I broke my money.”
The California State Legislature asked the SEC Director:
Why did you chase after Terra instead of Tether?
Grewar replied: However, I understand your concerns and have added resources to our crypto asset unit to investigate issues that endanger investors, including the issues you raised in your question. “
SEC investigating Algorithm stablecoin that collapsed in May with terrausd (UST) and cryptocurrency terra (LUNA). After the two coins exploded, SEC Chairman Gary Gensler warned: Many crypto tokens fail..
In conclusion, Sherman told Grewar:
In December 2020, the SEC gave Ripple Labs and its two top executives (CEO Brad Garlinghouse and co-founder Chris Larsen) $ 1.3 billion. XRPRegulators said it was an “unregistered securities offer.”Following the announcement of the proceedings, the U.S. crypto exchange has begun delisting XRPIncludes Cryptographic Exchange Coinbase, listed on Nasdaq.
In response to Sherman’s statement, many on Twitter quickly pointed out that no country, including the United States, has decided on it. XRP Security. Ripple’s general counsel, Stuart Alderoty, tweeted Wednesday.
If the elected civil servant does not understand that the mere proceedings by the SEC will not determine anything, that is more than a concern. Only the court can make a decision (called a due process).
At the hearing on Wednesday, Congressman Tom Emmer (R-MN) also Criticized SEC’s approach to regulating the crypto industry. “It seems clear to everyone that the SEC does not regulate in good faith, except perhaps members of the committee,” he said.
What do you think of Congressman Brad Sherman’s comments? Let us know in the comments section below.
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