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Ripple CLO Calls Out Gary Gensler Following SEC’s Filing In Binance Case

Published

2 weeks ago

December 5, 2024

Ripple Clo Reveals The Likely Outcome Of The Sec Appeal.webp.webp

Ripple Chief Legal Officer (CLO) Stuart Alderoty has called out the US Securities and Exchange Commission (SEC) Chair Gary Gensler following the Commission’s recent filing in the Binance case. The Ripple CLO’s statement comes amid Donald Trump’s nomination of Paul Atkins as the next US SEC Chair.

Ripple CLO Calls Out Gary Gensler

In an X post, Stuart Alderoty called Gary Gensler following the SEC’s latest filing in the Binance case. The Ripple CLO stated that the Gensler-led administration has filed an 8-page brief in the case instead of standing down and pausing crypto litigation with a new leadership just weeks away.

Alderoty remarked that the Commission recycled the same failed arguments in the filing, including the absurd claim that crypto has no inherent value. The SEC’s filing is a memorandum opposing Binance’s motion to dismiss the Commission’s amended complaint.

The Commission argued in the amended complaint that the top crypto exchange offered and sold BNB and ten other crypto assets as investment contracts. However, Binance had before now filed a motion to dismiss this motion.

However, the Ripple CLO expects that Gary Gensler and the US SEC shouldn’t be moving forward with pending litigations, considering that the Donald Trump administration could soon come in.

Moreover, Gensler has already announced that he will resign on the day Trump comes into office. As such, the Commission could wait for the next administration for guidance on how best to proceed with these lawsuits.

It is worth mentioning that Donald Trump nominated pro-crypto Paul Atkins to become the next US SEC Chair. This indicates that there is a likelihood that these crypto lawsuits could be dropped under the next administration.

Gensler Trying To Lead ‘From The Grave’

The Ripple CLO isn’t the only one that has criticized Gensler’s recent moves. Former SEC official John Reed Stark recently stated that Gensler is quietly working behind the scenes to lead the Commission from the grave.

Stark mentioned that Gensler just promoted three crypto-enforcement lawyers in the SEC to senior executive positions and will now be in charge of running the SEC’s trial unit and the SEC’s crypto unit. He added that the Commission hasn’t announced these promotions, which makes this move interesting as the Commission always announces such promotions.

Basically, the former SEC official suggested that Gensler is still trying to push the Commission’s anti-crypto war even after he leaves office. It is worth mentioning that Coingape recently reported that Jorge Tenreiro, the SEC’s lead attorney in its lawsuit against Ripple, had joined the Commission as the Chief Litigation Counsel.