Coinbase was the latest victim of the US SEC, receiving a Wells Notice on Wednesday. In response, Ripple's CTO roasted the SEC in a series of tweets.
- Ripple CTO claims the SEC can’t tell what the rules are.
- XRP price soared over 19% in a week.
While the US Securities and Exchange Commission (SEC) continues to be engaged in a prolonged legal dispute with Ripple, the watchdog has now picked Coinbase as its new target. The exchange reportedly received a “Wells Notice” from the SEC, alerting Coinbase that a securities law violation case may soon be filed against them.
In response to SEC Wells Notice, Paul Grewal, Coinbase’s chief legal officer, writes in a blog post that the Notice provided the exchange with little information. The letter claimed that certain unnamed tradeable assets on Coinbase’s self-custody wallet, Coinbase Prime, and staking services are in violation of the investor protection statute. And he asked the SEC, “Tell us the rules and we will follow them.”
Ripple CTO Reatcs SEC’s Action
Following the SEC’s new action, which led the crypto community to confusion, David Schwartz, Ripple’s Chief Technology Officer (CTO), started roasting the regulators in a series of a tweet. He speculated that they might be driven by incompetence or a desire to defend insiders and early investors.
Also, the executive of Ripple questioned the SEC’s reasoning for the most recent enforcement action. And stated, “If the SEC protects American investors, imagine if they tried to hurt them.” Further, the lead attorney for Ripple, Stuart Aldorety, tweeted his thoughts on the SEC’s Wells Notice to Coinbase and posted “the enemy of my enemy is my friend.” Schwartz replied to this,
Obviously the SEC can’t tell you what the rules are. If they do, you’ll just comply with them.
Furthermore, Ripple’s native cryptocurrency XRP price increased by more than 19% in a week. Placing it first on the weekly top gainer’s list. XRP price gains may result in its winning path against the SEC. Also, the altcoin buzzed Crypto Twitter along with other hashtags such as #zkSync, #ShibaInu, and #Arbitrum.
At the time of writing, XRP traded at $0.438997 with a 24-hour trading volume of $2.21 billion. And holds a market cap of $22 billion.