- Stuart Alderoty, Ripple’s chief legal officer, has emphasized the need for bipartisan cooperation in cryptocurrency innovation.
- The US House of Representatives recently voted to overturn the SEC’s guidance on cryptocurrency custody, a move Alderoty supports.
- Despite this victory, the future of the resolution in the Senate, which is currently controlled by the Democratic Party, remains uncertain.
As the US House of Representatives overturns the SEC’s controversial guidance on cryptocurrency custody, Ripple’s chief legal officer, Stuart Alderoty, calls for bipartisan cooperation in the crypto industry.
US House of Representatives Overturns SEC’s Crypto Custody Guidance
The US House of Representatives recently voted to overturn the Securities and Exchange Commission’s (SEC) Staff Accounting Bulletin No. 121 (SAB 121). This guidance required financial institutions to keep their customers’ cryptocurrency holdings on their own balance sheets. Critics argued that this would make it nearly impossible for banks to custody cryptocurrencies. The guidance was also criticized by pro-crypto SEC Commissioner Hester Peirce, who described the agency’s approach to regulating custody services as “scattershot” and “inefficient.”
Bipartisan Support for Crypto Industry
Interestingly, 21 Democrats joined the Republicans in the House to overturn SAB 121, indicating that the crypto industry enjoys bipartisan support. Major cryptocurrency players and banking groups have been lobbying against the SEC guidance, marking a rare moment of unity between the two industries. However, it remains to be seen whether the resolution will garner enough support in the Senate, which is currently controlled by the Democratic Party.
Ripple’s Chief Legal Officer Calls for Cooperation
Stuart Alderoty, Ripple’s chief legal officer, has been vocal about his support for the overturning of the SEC’s guidance. He has also expressed his approval of the upcoming stablecoin bill. Alderoty stressed the importance of bipartisan cooperation in cryptocurrency innovation and regulation, stating that both parties can agree that the SEC is “out of control.” He also expressed his satisfaction with the growing positive engagement with crypto regulation in Congress.
Conclusion
The recent overturning of the SEC’s controversial crypto custody guidance by the US House of Representatives marks a significant development in the crypto industry. With bipartisan support for the crypto industry growing, the future of crypto regulation in the US could see positive changes. However, the fate of the resolution in the Senate remains uncertain. As the crypto industry continues to evolve, the need for clear, cooperative regulation becomes increasingly important.
