{"id":25911,"date":"2025-05-09T01:01:36","date_gmt":"2025-05-09T01:01:36","guid":{"rendered":"https:\/\/dogewisperer.com\/?p=25911"},"modified":"2025-05-09T01:01:36","modified_gmt":"2025-05-09T01:01:36","slug":"secs-crenshaw-slams-ripple-settlement-warns-of-regulatory-vacuum","status":"publish","type":"post","link":"https:\/\/dogewisperer.com\/?p=25911","title":{"rendered":"SEC\u2019s Crenshaw slams Ripple settlement, warns of \u2018regulatory vacuum\u2019"},"content":{"rendered":"<div>\n<p style=\"float:right; margin:0 0 10px 15px; width:240px;\"><img decoding=\"async\" src=\"https:\/\/images.cointelegraph.com\/images\/840_aHR0cHM6Ly9zMy5jb2ludGVsZWdyYXBoLmNvbS91cGxvYWRzLzIwMjUtMDEvMDE5NDk5YjgtNDVjNi03MmY2LWI0YWYtZTgzYzM3NDU4MTkx.jpg\"><\/p>\n<\/p>\n<p style=\"float:right; margin:0 0 10px 15px; width:240px;\"><img decoding=\"async\" src=\"https:\/\/images.cointelegraph.com\/images\/840_aHR0cHM6Ly9zMy5jb2ludGVsZWdyYXBoLmNvbS91cGxvYWRzLzIwMjUtMDEvMDE5NDk5YjgtNDVjNi03MmY2LWI0YWYtZTgzYzM3NDU4MTkx.jpg\" alt=\"SEC\u2019s Crenshaw slams Ripple settlement, warns of \u2018regulatory vacuum\u2019\"><\/p>\n<p>A crypto-skeptical commissioner at the US Securities and Exchange Commission has blasted her agency over its settlement letter that could finally end the Ripple legal saga. <\/p>\n<p>The SEC and Ripple filed a joint settlement letter in a New York court asking for the August 2024 injunction against Ripple to be dissolved and <a data-ct-non-breakable=\"null\" href=\"https:\/\/cointelegraph.com\/news\/ripple-cross-appeal-sec-lower-court-ruling\" rel=\"null\" target=\"null\" text=\"null\" title=\"null\">$75 million of the $125 million in civil penalties<\/a> held in escrow to be returned to the crypto firm, <a data-ct-non-breakable=\"null\" href=\"https:\/\/www.sec.gov\/enforcement-litigation\/litigation-releases\/lr-26306\" rel=\"null\" target=\"null\" text=\"null\" title=\"null\">according<\/a> to a May 8 statement from the SEC.<\/p>\n<p>SEC Commissioner Caroline Crenshaw <a data-ct-non-breakable=\"null\" href=\"https:\/\/www.sec.gov\/newsroom\/speeches-statements\/crenshaw-statement-ripple-050825\" rel=\"null\" target=\"null\" text=\"null\" title=\"null\">blasted<\/a> the pending deal in a May 8 statement, saying it would damage the regulators\u2019 ability to keep crypto firms in line and undermine the court\u2019s ruling.<\/p>\n<figure><img decoding=\"async\" alt=\"SEC\u2019s Crenshaw slams Ripple settlement, warns of \u2018regulatory vacuum\u2019\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2025-05\/0196b25b-62f8-74cc-8bc3-19e9acd4ee34\" title=\"\"><figcaption style=\"text-align: center;\"><em>Source: <\/em><a data-ct-non-breakable=\"null\" href=\"https:\/\/x.com\/FilanLaw\/status\/1920563565028643205\" rel=\"null\" target=\"null\" text=\"null\" title=\"null\"><em>James Filan<\/em><\/a><\/figcaption><\/figure>\n<p>\u201cThis settlement, alongside the programmatic disassembly of the SEC\u2019s crypto enforcement program, does a tremendous disservice to the investing public and undermines the court\u2019s role in interpreting our securities laws,\u201d she said.<\/p>\n<p>\u201cIn the meantime, the settlement joins a line of dismissals that collectively erode the credibility of our lawyers in court who are being asked to take legal positions today contrary to the ones taken just months ago.\u201d<\/p>\n<p><template data-ct-widget=\"buzzsprout\" data-buzzsprout-podcast-id=\"2040516\" data-buzzsprout-episode-id=\"17042195\"><\/template><\/p>\n<p>Under the Trump administration, the SEC has slowly been walking back its hardline stance toward crypto firms forged under former <a data-ct-non-breakable=\"null\" href=\"https:\/\/cointelegraph.com\/learn\/articles\/who-is-gary-gensler-regulating-crypto\" rel=\"null\" target=\"null\" text=\"null\" title=\"null\">SEC Chair Gary Gensler\u2019s<\/a> reign, <a data-ct-non-breakable=\"null\" href=\"https:\/\/cointelegraph.com\/news\/sec-to-dismiss-lawsuit-cumberland-drw\" rel=\"null\" target=\"null\" text=\"null\" title=\"null\">dismissing a growing number of enforcement actions<\/a> against crypto firms.<\/p>\n<p>At the same time, Crenshaw argues that if Judge Torres accepts the settlement, it would erase \u201cthe investor protections we already won\u201d and leave a \u201cregulatory vacuum,\u201d until the <a data-ct-non-breakable=\"null\" href=\"https:\/\/cointelegraph.com\/learn\/articles\/sec-crypto-task-force\" rel=\"null\" target=\"null\" text=\"null\" title=\"null\">crypto task force hammers<\/a> out a regulatory framework.<\/p>\n<blockquote><p>\u201cThe settlement is not in the best interests of the investors and markets that our agency is tasked with serving and protecting. It creates more questions than answers.\u201d<\/p><\/blockquote>\n<p>In August last year, a Judge ordered <a data-ct-non-breakable=\"null\" href=\"https:\/\/cointelegraph.com\/news\/sec-ripple-labs-liable-civil-penalty\" rel=\"null\" target=\"null\" text=\"null\" title=\"null\">Ripple to pay $125 million in penalties<\/a> after ruling the firm\u2019s XRP (<a data-ct-non-breakable=\"null\" href=\"https:\/\/cointelegraph.com\/xrp-price-index\" rel=\"null\" target=\"null\" text=\"null\" title=\"null\">XRP<\/a>) token was covered by securities laws when sold to institutional investors.<\/p>\n<h2>What\u2019s next for the Ripple case? It\u2019s not over yet<\/h2>\n<p>While the SEC and Ripple have agreed to a settlement, it\u2019s still not a done deal, according to ex-federal prosecutor James Filan, because there are several steps before <a data-ct-non-breakable=\"null\" href=\"https:\/\/cointelegraph.com\/learn\/articles\/the-sec-vs-ripple-lawsuit-everything-you-need-to-know\" rel=\"null\" target=\"null\" text=\"null\" title=\"null\">the long-running legal saga<\/a> can conclude.<\/p>\n<p>For a start, Judge Torres needs to provide an indicative ruling if she agrees to the settlement letter, Filan <a data-ct-non-breakable=\"null\" href=\"https:\/\/x.com\/FilanLaw\/status\/1920577412544237876\" rel=\"null\" target=\"null\" text=\"null\" title=\"null\">said<\/a> in a May 8 analysis on X.<\/p>\n<figure><img decoding=\"async\" alt=\"SEC\u2019s Crenshaw slams Ripple settlement, warns of \u2018regulatory vacuum\u2019\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2025-05\/0196b25c-3649-78b6-a423-e43d9d6c8b8c\" title=\"\"><figcaption style=\"text-align: center;\"><em>Source: <\/em><a data-ct-non-breakable=\"null\" href=\"https:\/\/x.com\/filanlaw\/status\/1920577412544237876?s=46&amp;t=MuRujqZUAz3TQE1vmr3c6A\" rel=\"null\" target=\"null\" text=\"null\" title=\"null\"><em>James Filan<\/em><\/a><\/figcaption><\/figure>\n<p>If Torres provides an indicative ruling, the SEC and Ripple will ask the Second Circuit Court of Appeals for a limited remand back to Judge Torres, which, if granted, will result in another motion being filed for the agreed settlement, according to Filan.<\/p>\n<p><em><strong>Related: <\/strong><\/em><a data-ct-non-breakable=\"null\" href=\"https:\/\/cointelegraph.com\/news\/bitnomial-drops-lawsuit-against-sec-ahead-xrp-futures-us-launch\" rel=\"null\" target=\"null\" text=\"null\" title=\"null\"><em><strong>Bitnomial drops SEC lawsuit ahead of XRP futures launch in the US<\/strong><\/em><\/a><\/p>\n<p>\u201cAfter the injunction is dissolved and the funds distributed, the SEC and Ripple will ask the Court of Appeals to dismiss the SEC\u2019s appeal and Ripple\u2019s cross-appeal. Then it will be over,\u201d he said.<\/p>\n<p>The SEC initially launched legal action <a data-ct-non-breakable=\"null\" href=\"https:\/\/cointelegraph.com\/news\/sec-enforcement-case-ripple-labs-ending\" rel=\"null\" target=\"null\" text=\"null\" title=\"null\">against Ripple Labs in December 2020<\/a>, accusing the firm of illegally selling its token as an unregistered security.\u00a0<\/p>\n<p><em><strong>Magazine: <\/strong><\/em><a data-ct-non-breakable=\"null\" href=\"https:\/\/cointelegraph.com\/magazine\/sec-crypto-laws-unclear\/\" rel=\"null\" target=\"null\" text=\"null\" title=\"null\"><em><strong>SEC\u2019s U-turn on crypto leaves key questions unanswered<\/strong><\/em><\/a><\/p>\n<p><template data-name=\"subscription_form\" data-type=\"crypto_biz\" label=\"Subscription Form: Crypto Biz Newsletter\"><\/template>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>A crypto-skeptical commissioner at the US Securities and Exchange Commission has blasted her agency over its settlement letter that could finally end the Ripple legal saga. The SEC and Ripple filed a joint settlement letter in a New York court asking for the August 2024 injunction against Ripple to be dissolved and $75 million of [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"iawp_total_views":0,"footnotes":""},"categories":[2],"tags":[3,4,5],"class_list":["post-25911","post","type-post","status-publish","format-standard","hentry","category-news","tag-crypto","tag-doge","tag-news"],"_links":{"self":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts\/25911","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=25911"}],"version-history":[{"count":0,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts\/25911\/revisions"}],"wp:attachment":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=25911"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=25911"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=25911"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}