- The SEC denies any public statement on Ether.
- The community thinks the commission is favoring ETH over XRP.
- Leaked emails show the SEC resisting any clear statement on Ethereum’s security status.
The SEC has been heavily criticized for its ongoing lawsuit against XRP, the native token of the Ripple network. A recently leaked email reply from the SEC shows that the commission denies making any public statement about Ethereum. However, just two years ago, Willian Hinman declared Ether and Bitcoin as non-securities, and the statement is still published on the SEC website.
This double standard of the commission has caused a social media outrage from the XRP community. According to community members, the commission’s denial of Ether’s status, despite having Hinman’s 2018 statement published on its website shows a typical bias towards Ethereum over XRP.
XRP was flying over $3 in 2018, but the SEC lawsuit has halted the altcoins rise in the market. It is almost shocking that the altcoin has gone down almost 70% over the last 4 years, despite the wider adoption and upgrade of Ripple’s digital payment network.
Several major banks around the world like Santander and SABB use Ripple’s payment solution for instant international transactions. The community believes that the altcoins price would have rocketed to unbelievable heights by now if the SEC lawsuit didn’t happen.
Is the SEC pushing an unfair agenda against XRP?
Both XRP and ETH have very similar operations, and both have been operating for almost a decade. So, the community is frustrated that the SEC seems to be fixated on XRP, and doesn’t even bother to clarify its stance on Ether.
Several community members have emailed the commission to know the security status of ETH. However, the SEC has provided rather unclear replies every time. Several different emails shared on Twitter shows the SEC mentioning that Ethereum or Ethereum 2.0 is not registered in the commission’s database, but they also continue to emphasize that there’s no official statement on Ethereum.
Even the former Chief of the SEC, Joseph Grundfest mentioned that the commission’s treatment of XRP while leaving ETH untouched is highly unethical, and it raises questions about the organization’s fairness.
The XRP lawsuit created a lot of suspicion against the SEC. Previously leaked documents and emails suggest that there is a third party receiving guidance from the commission regarding the operations and regulations of its digital asset.
The lawsuit will potentially reach an end on January 14, 2022, after the SEC previously requested an extension to the November 2021 deadline.