TL;DR
- Binance Fined, Ripple’s CLO Responds: Binance faced a $4.3 billion DOJ fine for anti-money laundering issues, with CEO Changpeng Zhao resigning. Ripple’s Chief Legal Officer, Stuart Alderoty, views this as positive for crypto compliance, noting the SEC’s absence.
- Alderoty Criticizes SEC: Alderoty criticized the SEC for acting like a “petulant child” by filing a lawsuit against Kraken simultaneously with the Binance announcement, accusing the SEC of “juvenile behavior.”
- SEC Sues Kraken: The SEC filed a lawsuit against Kraken, alleging it offered services with unregistered securities, including Solana and Cardano, but did not list Ripple’s XRP among them.
The SEC Acts Like a ‘Petulant Child’
The latest saga involving Binance has undoubtedly been the most discussed topic in the cryptocurrency space in the past several hours. Recall that the world’s biggest digital asset exchange was hit with a whopping $4.3 billion fine by the US DOJ for allegedly violating certain anti-money laundering procedures, while its CEO Changpeng Zhao (CZ) stepped down from his post.
Stuart Alderoty – Chief Legal Officer of Ripple – is among the individuals who believe the regulatory action against Binance could be a step forward for the cryptocurrency industry.
“The Binance resolution of anti-money laundering (etc.) violations is a necessary step to bring the crypto industry into compliance with these important laws and safeguards. Big banks all went through some version of this years ago,” he argued.
In addition, he claimed that “nowhere does the DOJ suggest that Binance committed securities law violations.” making the US SEC “glaringly absent from the stage today.”
He also reminded that America’s securities regulator filed its lawsuit against Kraken at the exact time when the authorities released their press conference regarding Binance. Ripple’s CLO compared the SEC’s attitude to the one of a “petulant child who can’t stand being ignored.” He went even further, suggesting the watchdog has shown “juvenile behavior.”
The SEC vs. Kraken
Speaking of Kraken, it is worth touching upon the latest attack coming from the SEC toward the cryptocurrency sector. The Commission filed a lawsuit against the exchange, accusing it of breaching numerous laws and offering trading services with digital currencies labeled as unregistered securities.
Some of those include Solana (SOL), Cardano (ADA), Polygon (MATIC), and many more. Interestingly, the agency this time excluded Ripple’s coin – XRP – from the lengthy list.
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