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Ripple CEO Exposes Double Standards: “Financial World Rife with Hypocrisy”

Published 24/12/2023, 14:25
Ripple CEO Exposes Double Standards: “Financial World Rife with Hypocrisy”
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  • Brad Garlinghouse has accused the U.S. SEC chairman, Gary Gensler of being a hypocrite.
  • Garlinghouse says Gensler is a political liability whose actions have decimated consumers and destroyed the integrity of the SEC.
  • Gensler recently claimed that there is a lot of noncompliance with the securities laws in the crypto space.

Ripple CEO Brad Garlinghouse has accused the U.S. Securities and Exchange Commission (SEC) chairman, Gary Gensler of being a hypocrite, following the latter’s claim of noncompliance in the crypto space. In a recent post on X (formerly Twitter), Garlinghouse described Gensler as a political liability whose actions have decimated consumers and destroyed the integrity of the SEC while remaining “buddy-buddy” with Wall Street.

The Ripple CEO attached a video clip to his post stating how Gensler refused to interact with Congress over his relationship and interaction with Sam Bankman-Fried, the deposed CEO of the bankrupt FTX crypto exchange. The video presenter alleged that Gensler held multiple meetings with Bankman-Fried, while the latter committed fraud using his exchange, questioning why the SEC chair would refuse to answer questions from Congress.

Before Garlinghouse’s post, Gensler appeared in the CNBC television show Money Movers, claiming that there is a lot of noncompliance with the securities laws that can give users the disclosure they need to make investment decisions. According to him, such laws are also there to protect consumers against fraud and manipulation. However, the SEC chair alleged far too much fraud and bad actors in the crypto field that are not obeying such laws.

According to Gensler, the crypto industry is a small part of the U.S. capital market. However, bad actors’ activities within the space can undermine confidence when so many people have been hurt, and all they can do is stand in line in the bankruptcy court. He believes such a situation can make it hard for good-faith actors to compete because there are many challenges elsewhere.

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