XRP Community Allege SEC Of Manipulating Crypto Market

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The SEC, usually criticized for having a restricting stance towards the growth of cryptocurrencies,is yet again facing heavy criticism as the XRP community has alleged that the SEC of manipulating the crypto market. 

The XRP community is intensively scrutinizing the SEC‘s recent actions, alleging that the agency manipulates the crypto market to favor Bitcoin and Ethereum at the expense of Ripple’s XRP. In a series of social media posts, crypto enthusiasts and social media investors have also highlighted the statements of former director, William Hinman on Ethereum, further charging the discussions on the long-standing controversy in the crypto market. 

A prominent figure within the community shared convincing evidence through various platforms, including a revealing video featuring former SEC counsel Nancy Wojtas. In her remarks, Wojtas pointed out the mutable nature of cryptocurrencies, a perspective that raises doubts about the SEC’s regulatory consistency towards different tokens.

In the video, she emphasized that “Tokens are mutable, you know they can change. That’s what Bill Hinman said. And it’s like, well, we don’t really believe that.” The crypto enthusiast further added that Remember this one…the SEC didn’t really believe what they let Bill Hinman say in the speech. “It was for the purpose of intentionally creating a grey area while leaving the rest of the industry wondering, thus giving Bitcoin and Ethereum a monopoly.”

According to the community, the statement reveals the SEC’s inconsistency, which has made it possible for Ethereum to flourish while other digital assets like Ripple’s native token are under scrutiny. 

Questions were also raised on why the Ether co-founder Vitalik Buterin, who recently admitted to selling Ether to support other projects, did not face the same legal challenges as Ripple. Buterin had clarified saying “All sales have been to support various projects that I think are valuable, either within the Ethereum ecosystem or broader charity, such as biomedical R&D.”

The XRP community compared his actions to a securities transaction and questioned why the agency has not taken similar action against Ethereum. The XRP community, frustrated over the 4-year battle of Ripple against SEC, which recently concluded, claim that the SEC’s aggressive approach towards Ripple differs from its treatment of Ethereum.

The Pro-XRP lawyer Bill Morgan recently cited Elon Musk’s comments on monopolistic behavior by industry regulators. Morgan suggested that the agency’s actions under Hinman and former Chair Jay Clayton demonstrated clear favoritism.

The allegations by the XRP community against the SEC reveal the potential inconsistencies within regulatory practices that could sabotage market integrity. This serves as a critical reminder of the need for transparent and consistent regulations for the crypto sector.