Chairman and co-founder of Ripple Labs Chris Larsen accused the administration of US President Joe Biden of ruining the regulatory policy for cryptocurrencies in the country, and the US risks losing its leadership in this industry.
In a conversation with Bloomberg, Chris Larsen commented on Ripple’s partial victory in court against the US Securities and Exchange Commission (SEC). In July, the court ruled that XRP could not be considered a security on the secondary market, so, according to Larsen, the SEC lost everything that was important to it in regulating the industry.
“The US has screwed up in regulating blockchain and cryptocurrencies. Unfortunately, crypto companies are now seeking clarity through the courts, rather than through joint work with regulators,” said the chairman of Ripple Labs.
Larsen also mentioned the recent court decision in favor of Grayscale Investments – the court considered the department’s refusal to convert the Grayscale Bitcoin Trust (GBTC) into a spot Bitcoin ETF to be unfounded. Larsen believes the decision proves that SEC Chairman Gary Gensler likes the lack of clarity in industry oversight because it allows him to go after whoever he wants and make his own rules while mocking crypto companies.
“I sincerely hope that the SEC stops regulating cryptocurrencies through enforcement. The courts have rejected her arguments, and now it is time for Congress to take the lead. We need to have clear rules from legislatures, not from power-hungry despots like Gary Gensler,” Larsen said.
He added that Biden’s cryptocurrency policies have stripped San Francisco of its status as the “blockchain capital of the world,” despite its reputation as a Silicon Valley tech hub. Larsen cited the examples of London, Singapore and Dubai with clear rules that not only protect consumers, but also help foster innovation.
Recall that in June, President Biden promised to reduce support for cryptocurrency investors. However, in early August, Biden pretended to be a Bitcoin maximalist, campaigning with a coffee mug depicting him with laser eyes.
