Ripple's Legal Chief Criticizes US
Ripple's Chief Legal Officer blasts the US for failing to provide clear crypto regulations, highlighting the nation's lag behind global counterparts in the digital asset space.
Stuart Alderoty, Chief Legal Officer (CLO) of Ripple, has criticized the United States for its unclear crypto regulations. This call highlights the need for a stable framework for digital assets, amidst continuous enforcement actions by the US Securities and Exchange Commission (SEC).
In a recent post, Alderoty discussed his experience at the Point Zero Forum in Zurich, Switzerland, themed “Mastering the Maze: Implementing Global Digital Asset Regulations.” He emphasized the need for “good” crypto regulations and criticized the US compared to other countries, saying, “Good regulation leads to predictable results. Unfortunately, the US fails that test miserably.”
Alderoty's views reflect the general sentiment among American crypto users and institutions. They have long sought clear regulations, especially given the SEC's frequent actions against crypto entities for offering unregistered securities. Currently, the SEC is in legal disputes with major firms like Ripple, Binance, and Coinbase.
With the US Presidential elections approaching, dissatisfaction with current crypto regulations has become a major issue. The US is seen as lagging in crypto adoption and needing new leadership. Notably, Republican candidate Donald Trump supports the virtual asset industry, believing the US should lead in this area.
Other regions are progressing in crypto regulation. The European Union (EU) is set to adopt the first phase of its Markets in Crypto Assets (MiCA) regulations, while the United Kingdom plans to release its proposed digital regulations in July.
The US House of Representatives is preparing to overturn President Joe Biden’s veto of the SEC’s Staff Accounting Bulletin (SAB) No.121. This policy, seen as anti-crypto, requires financial institutions to document digital assets on their balance sheets. The House had voted 228-182, and the Senate 60-38, to repeal it, but Biden vetoed it.
To override the veto, a two-thirds majority in both legislative assemblies is needed. House Majority Leader Steven Scalise mentioned the vetoed resolution might be reconsidered next week, which could lead to another vote.
This effort to overturn the veto shows the wider dissatisfaction with the US's current approach to digital asset regulation. The debate on SAB 121 is part of a larger discussion on finding the right balance between oversight and innovation in the crypto industry.
The criticisms from Ripple's CLO and the legislative actions on SAB 121 highlight the US's struggle to create a supportive regulatory environment for digital assets. With other regions advancing their regulations, the pressure is on the US to establish clear and consistent crypto regulations to stay competitive.
