{"id":128872,"date":"2025-05-09T01:26:20","date_gmt":"2025-05-09T01:26:20","guid":{"rendered":"http:\/\/cryptospotters.net\/?p=128872"},"modified":"2025-05-09T01:26:20","modified_gmt":"2025-05-09T01:26:20","slug":"secs-crenshaw-slams-ripple-settlement-warns-of-regulatory-vacuum","status":"publish","type":"post","link":"http:\/\/cryptospotters.net\/?p=128872","title":{"rendered":"SEC\u2019s Crenshaw slams Ripple settlement, warns of \u2018regulatory vacuum\u2019"},"content":{"rendered":"<p>Source: Cointelegraph.com NewsA crypto-skeptical commissioner at the US Securities and Exchange Commission has blasted her agency over its settlement letter that could finally end the Ripple legal saga.<br \/>\nThe SEC and Ripple filed a joint settlement letter in a New York court asking for the August 2024 injunction against Ripple to be dissolved and $75 million of the $125 million in civil penalties held in escrow to be returned to the crypto firm, according to a May 8 statement from the SEC.<br \/>\nSEC Commissioner Caroline Crenshaw blasted the pending deal in a May 8 statement, saying it would damage the regulators\u2019 ability to keep crypto firms in line and undermine the court\u2019s ruling.<br \/>\nSource: James Filan\u201cThis settlement, alongside the programmatic disassembly of the SEC\u2019s crypto enforcement program, does a tremendous disservice to the investing public and undermines the court\u2019s role in interpreting our securities laws,\u201d she said.<br \/>\n\u201cIn the meantime, the settlement joins a line of dismissals that collectively erode the credibility of our lawyers in court who are being asked to take legal positions today contrary to the ones taken just months ago.\u201d<br \/>\nUnder the Trump administration, the SEC has slowly been walking back its hardline stance toward crypto firms forged under former SEC Chair Gary Gensler\u2019s reign, dismissing a growing number of enforcement actions against crypto firms.<br \/>\nAt the same time, Crenshaw argues that if Judge Torres accepts the settlement, it would erase \u201cthe investor protections we already won\u201d and leave a \u201cregulatory vacuum,\u201d until the crypto task force hammers out a regulatory framework.<br \/>\n\u201cThe settlement is not in the best interests of the investors and markets that our agency is tasked with serving and protecting. It creates more questions than answers.\u201d<br \/>\nIn August last year, a Judge ordered Ripple to pay $125 million in penalties after ruling the firm\u2019s XRP (XRP) token was covered by securities laws when sold to institutional investors.<br \/>\nWhat\u2019s next for the Ripple case? It\u2019s not over yet<br \/>\nWhile the SEC and Ripple have agreed to a settlement, it\u2019s still not a done deal, according to ex-federal prosecutor James Filan, because there are several steps before the long-running legal saga can conclude.<br \/>\nFor a start, Judge Torres needs to provide an indicative ruling if she agrees to the settlement letter, Filan said in a May 8 analysis on X.<br \/>\nSource: James FilanIf Torres provides an indicative ruling, the SEC and Ripple will ask the Second Circuit Court of Appeals for a limited remand back to Judge Torres, which, if granted, will result in another motion being filed for the agreed settlement, according to Filan.<br \/>\nRelated: Bitnomial drops SEC lawsuit ahead of XRP futures launch in the US<br \/>\n\u201cAfter the injunction is dissolved and the funds distributed, the SEC and Ripple will ask the Court of Appeals to dismiss the SEC\u2019s appeal and Ripple\u2019s cross-appeal. Then it will be over,\u201d he said.<br \/>\nThe SEC initially launched legal action against Ripple Labs in December 2020, accusing the firm of illegally selling its token as an unregistered security.\u00a0<br \/>\nMagazine: SEC\u2019s U-turn on crypto leaves key questions unanswered<a href=\"https:\/\/cointelegraph.com\/news\/sec-commissioner-slams-proposed-settlement-ripple?utm_source=rss_feed&amp;utm_medium=rss&amp;utm_campaign=rss_partner_inbound\" target=\"_blank\" class=\"feedzy-rss-link-icon\" rel=\"noopener\">Read More<\/a><\/p>","protected":false},"excerpt":{"rendered":"<p>Source: Cointelegraph.com NewsA crypto-skeptical commissioner at the US Securities and Exchange Commission has blasted her agency over its settlement letter that could finally end the Ripple legal saga. The SEC&hellip; <\/p>\n","protected":false},"author":0,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[5],"tags":[],"_links":{"self":[{"href":"http:\/\/cryptospotters.net\/index.php?rest_route=\/wp\/v2\/posts\/128872"}],"collection":[{"href":"http:\/\/cryptospotters.net\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/cryptospotters.net\/index.php?rest_route=\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"http:\/\/cryptospotters.net\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=128872"}],"version-history":[{"count":0,"href":"http:\/\/cryptospotters.net\/index.php?rest_route=\/wp\/v2\/posts\/128872\/revisions"}],"wp:attachment":[{"href":"http:\/\/cryptospotters.net\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=128872"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/cryptospotters.net\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=128872"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/cryptospotters.net\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=128872"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}