The long battle of Crypto with SEC comes to an end with Ripple’s victory

The Crusade of Years of the Bag and Securities Commission against the cryptographic industry seems to have finished.

The final chapter closed on Wednesday, when Ripple announced that the SEC had officially eliminated its four -year lawsuit against the company. The lawsuit, presented on Jay Clayton’s last day as president of the SEC, accused Ripple of raising $ 1.3 billion through the sale of his Token XRP without registering it as security.

Cryptographic Companies and Exchanges CoinbaseKraken, RobinityBinance, and Opensa, all demands or investigations previously saw that the investigations fell, resolved or suspended. Ripple is now taking a victory return.

“Ripple remains alone as the company that defended himself, and won on essential legal questions, throwing an important key to the SEC’s plans to destroy cryptography in the US. “The SEC has now abandoned its appeal in our case. In an appropriate irony, Ripple was the first important case they presented and will now be the last one from which they move away.”

XRP was created in 2012 as one of the first cryptocurrencies that are not from Bitcoin. It was initiated by the founders of the Ripple company and became the native currency of the platform. Like Bitcoin, XRP can be bought and sold by retail investors. XRP He jumped around 11% after Wednesday’s announcement.

Ripple spent $ 150 million fighting the government in a legal confrontation with former Sec President Gary Gensler, whose crypto approach was widely seen as hostile. In July 2023, a federal judge ruled that XRP is “Not necessarily a security on your face”, Uploading the basis of the case of the sec.

The victory was not just a turning point for Ripple. He pointed to the cryptographic industry that the tide was turning, and created an impulse for a movement that helped return to President Donald Trump, a former cryptographic critic, to the White House. A year after the judge’s ruling, Trump, as a republican candidate, delivered a key note at the annual Bitcoin conference, and announced that he was “designing my plan to ensure that the United States is the cryptographic capital of the planet and the world’s Bitcoin superpower.”

Ripple and his cryptographic companions were important taxpayers to the Trump campaign. The president has spent his first two months in office paying them.

On Friday, the SEC organized its first crypto Round table, pointing out a new regulation approach through commitment, instead of the application. Leading the effort is Hester Peirce, who is directing the new cryptographic workforce of the regulator.

Peirce’s message to the industry is that the SEC is no longer an adversary, but is trying to give Crypto a clear and legal framework.

In an important reversal of the policy, the SEC rescinded the personnel accounting bulletin 121, a controversial rule that required the banks to treat cryptographic assets as liabilities in their balances. Introduced in 2022 and defended by Gensler, the rule was widely seen as a great barrier to the institutional adoption of Bitcoin and other digital assets.

“Goodbye, Goodbye Sab 121! It hasn’t been fun,” Peirce wrote in a publication about X After change it was announced in January.

In the World Economic Forum in Davos, Switzerland that month, CEO of Goldman Sachs, Morgan Stanleyand Bank of America He pointed out that the thaw in Washington could lead to a renewed cryptographic commitment.

And in the White House, David Sacks, the AI ​​and Trump’s cryptographic tsar, stopped with the president while signing an executive order on digital assets. Sacks had recently attended Crypto Ball as part of the inauguration, where he declared: “The war on cryptography is over.”

Coinbase’s demand was dismissed in February. Then came Kraken. The sec retired From his war notice against Robinhood’s cryptography division. Binance research is in hold.

Ripple’s legal team for a long time argued that SEC’s strategy was not to defend the law, but to use it as a blunt instrument. The regulator sent citations to foreign regulators who worked with Ripple, demanded a trova of commercial partners documents and even defendant CEO Brad Garlinghouse and co -founder Chris Larsen personally. Those charges have also been removed.

“While this chapter is closed, the fight for clear, fair and transparent cryptographic regulation continues,” Alderoty told CNBC. “Ripple will continue to lead that fight.”

LOOK: Trump went to the Digital Assets Summit