Brad Garlinghouse Says the SEC Is Acting Like a Bully

The SEC has been catching some flak from various directions. Just a week ago, the agency was called out by the US Chamber of Digital Commerce (CDC) for its repressive actions and inability to conduct a proper dialogue with participants of the crypto industry. Many representatives of companies that are being targeted by the SEC expressed their distaste for what the federal agency is trying to do and how it approaches the implementation of potential regulations.

Ripple is battling against the SEC

Ripple is a company that has been under fire from the SEC for a long time with their legal battle initiated in 2020 by the federal agency. It is still going strong with many attempts from both sides to finalize the court hearing and push their agenda. Many experts think that the outcome of this juridical battle will dictate how the US government will approach dealing with DeFi, crypto assets, and companies offering access to them.

In his interview with CNBC, the CEO of Ripple Brad Garlinghouse said that the actions of the SEC can be described as a bully that wants to implement strict regulations by enforcing rules that may not be appropriate for the industry. Additionally, he mentioned that the federal agency wants to impose regulations on a company that has primarily international clientele with over 95% of all capital coming from clients that are not residents of the US.

Garlinghouse especially stressed that the SEC is not trying to build dialogue or approach regulations efficiently to ensure transparency and cooperation instead of antagonizing the whole crypto industry and trying to break through the understandable resistance from crypto companies that have their reasons to stay away from dealing with agencies like the SEC that are trying to brute force their mandates.

Options for a healthy dialogue seem to be exhausted

Rippleā€™s counsels recently hinted at the possibility of winning their case infusing some hope into the crypto community. However, even if this battle ends up in favor of the crypto industry, there will be more with some attempts of the SEC to go after Ethereum. It seems that the whole industry will have to stand its ground and battle it out.

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