SEC causes confusion by calling cryptocurrencies “securities”
The use of the term “securities” with respect to cryptocurrencies by the SEC has generated confusion and complaints from the crypto exchanges XRP, Ripple and Coinbase, as they consider that it lacks legal basis
The SEC has had to apologize for its use of the term “securities” with respect to cryptocurrencies in lawsuits against Binance in light of protests from executives of the platforms Coinbase, XRP and Ripple, whose executives argue that the use of the concept is baseless. legal.
In this sense, the legal director of Ripple, Stuart Alderoty, and of Coinbase, Paul Grewal, have criticized the position of the SEC (United States Securities and Exchange Commission) in using the term “cryptoactive securities” at the bottom of the lawsuit against Binance, in addition to referring to other regulatory inconsistencies of the entity since 2017 regarding the cryptocurrency industry.
In response to the claims, the SEC clarified its use of the term “cryptoactive securities” through an amendment to the notes to the lawsuit against Binance.
The claim by Ripple and Coinbase points to a possible deception by the SEC before the judges by using the term without legal basis, according to its specialists, since it is not found in any statute and has been created by the Securities and Exchange Commission.
Given the confusion, the organization admitted that the term “crypto asset value” is not real. Given this, it is presumed that it was used to prove that these are investment contracts.
M.Pino
Source: fxstreet
(Reference image source: Coinstash Australia en Unsplash)
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