SEC Chair Gary Gensler 'Disappointed' with Ripple Ruling

SEC Chair Gary Gensler ‘Disappointed’ with Ripple Ruling

Updated: 28 July 2023

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SEC chair Gary Gensler said he’s disappointed with last week’s court ruling that Ripple Labs Inc.’s XRP token isn’t a security when sold to the public.

Gensler, speaking at the National Press Club, said the Securities and Exchange Commission also is pleased with the ruling that XRP is a security when sold to institutional investors, and added that the SEC is still assessing the judge’s ruling.

Ripple’s victory on the retail side of the ruling was hailed as a major breakthrough for the crypto industry and ignited a surge in crypto prices. It also marked a significant setback for the SEC’s decade-long enforcement efforts in the cryptocurrency industry.

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SEC Chair Gary Gensler speaks about Ripple XRP ruling for first time, since last weeks court ruling pic.twitter.com/0lOzJEDs1e

— Whale (@WhaleChart) July 17, 2023

CFTC Commissioner Sees Path to Corporation With SEC After Ripple’s Judgment

Commodities Futures Trading Commissioner Caroline Pham said in an interview on Bloomberg Television that Ripple’s partial victory has paved the way for regulatory clarity in the United States regarding cryptocurrencies.

Thank you @BloombergTV for the opportunity to talk about our important GMAC initiatives! Beyond crypto, institutional markets & central banks are looking at tokenization of real assets like bonds. Today, we heard about international, US & EU developments & key takeaways. https://t.co/cWTShDy2Bf

— Caroline D. Pham (@CarolineDPham) July 18, 2023

She referenced an earlier observation that courts would play a crucial role in defining securities and noted that this had been demonstrated via the Ripple ruling on Thursday.

Pham expressed hope for collaboration among regulators, including the SEC, to develop a comprehensive approach to crypto regulation.