Ripple General Counsel Says SEC Chairman Has Repeatedly Failed to Protect Crypto Investors

Alderoty lambasts the SEC chairman again.

Stuart Alderoty, the General Counsel at Ripple, has once again rebuked SEC Chair Gary Gensler over his recent comments in an interview with popular media outlet CNBC. 

In a CNBC interview, Gensler noted a need for better investment protection. He called on cryptocurrency-related firms to discuss better ways to regulate the industry with the SEC. Gensler further said the “runway is running out” for cryptocurrency companies as investors continue to get hurt from crypto offerings.

"I think that investors need better protection in this space. It's a field that's significantly non-compliant, but it's got regulation," says SEC Chair @GaryGensler. "Investors around the globe are getting hurt. The public can fall prey to celebrity promotions." pic.twitter.com/8LGnSEhqoI

— Squawk Box (@SquawkCNBC) November 10, 2022

Ripple’s General Counsel Comments

Responding to the comment made by Gensler, Ripple’s General Counsel stated that the only “runway running out” is the false and worn-out talking points from the SEC’s chairman.

Alderoty noted that Gensler’s quest to elevate the SEC as a suitable regulator for the U.S. cryptocurrency industry is responsible for creating huge financial damage for investors.

“The only runway that’s running out is these worn out (and frankly false) talking points from SEC Chair @GaryGensler. His insistence on elevating the SEC’s quest for power over effective regulation in this country is creating deep financial damage,” Ripple’s General Counsel said. 

Alderoty said the chairman of the Securities and Exchange Commission has repeatedly failed to protect United States investors, adding: 

“[Gensler] keeps crowing about Kim Kardashian while the lines in bankruptcy courts grow longer for consumers. This insanity must stop.” 

Chair Gensler has failed time and again to actually protect anyone, but keeps crowing about Kim Kardashian while the lines in bankruptcy courts grow longer for consumers. This insanity must stop.

— Stuart Alderoty (@s_alderoty) November 10, 2022

Gensler and Alderoty’s Hostile Relationship

Alderoty has not been on good terms with Gensler since the beginning of the lawsuit between Ripple and the Securities and Exchange Commission. Ripple’s General Counsel has repeatedly slammed Gensler over his preferred regulating cryptocurrency space method. Gensler is accused of protecting the interest of the SEC at the expense of United States investors.

According to Gensler, the vast majority of cryptocurrencies are securities. However, Gensler failed to clarify what factors he used to make the assertion.

Responding to the comments, Alderoty said he could not remember when Congress appointed Gensler to become the cop on the beat for crypto.