WHY DID THE @SECGov CHOOSE #XRP?🧵
If the SEC wanted to pick a top 10 Token to go after why would it choose the much more difficult case?
There’s a legitimate debate over whether today’s #ETH or #XRP (the networks - not token ownership) are more “sufficiently decentralized?”
If the SEC wanted to pick a top 10 Token to go after why would it choose the much more difficult case?
There’s a legitimate debate over whether today’s #ETH or #XRP (the networks - not token ownership) are more “sufficiently decentralized?”
But when applying securities laws to fundraising, there’s no debate over which is the easier case to prove. Ether held a pure ICO. Both Clayton and Gensler are on record stating they’ve never seen an ICO that wasn’t a security. @Ripple sold stock to VCs then sold XRP, but no ICO.
I said months ago that a monkey 🐒 could prove #Ether started out as an illegal securities offering. All you need to do is play video clips of the people responsible for the offering. @stevennerayoff has described himself as the architect behind the #ETH fundraising. Listen 👂👇
https://twitter.com/digitalassetbuy/status/1453792104644239371
Nerayoff’s goal was simple:
“to raise money and not go to jail.”
He admits in the video 👆 that it was an illegal securities offering. Go to
crypto-law.us/video-library/
and you can review @CryptoLawUS’s video library establishing a timeline of video clips with irrefutable proof.
“to raise money and not go to jail.”
He admits in the video 👆 that it was an illegal securities offering. Go to
crypto-law.us/video-library/
and you can review @CryptoLawUS’s video library establishing a timeline of video clips with irrefutable proof.
Nerayoff wasn’t the only one worried about going to jail, however. @ethereumJoseph, himself, once said:
“We thought it was possible we would land at JFK on a certain day and the FBI would tackle us on the tarmac.” 👇
“We thought it was possible we would land at JFK on a certain day and the FBI would tackle us on the tarmac.” 👇
@digitalassetbuy provided clips of @VitalikButerin discussing their intent on avoiding securities laws.
#Ethereum co-founder Chetrit left the Ether project because he was also worried:
“about the very real possibility they would all end up in jail for securities violations.”👇
#Ethereum co-founder Chetrit left the Ether project because he was also worried:
“about the very real possibility they would all end up in jail for securities violations.”👇
@digitalassetbuy provided clips of @VitalikButerin discussing their intent on avoiding securities laws.
#Ethereum co-founder Chetrit left the Ether project because he was also worried:
“about the very real possibility they would all end up in jail for securities violations.”👇
#Ethereum co-founder Chetrit left the Ether project because he was also worried:
“about the very real possibility they would all end up in jail for securities violations.”👇
The point is that if the SEC was going to go after a top crypto asset - the much easier case - hands 🙌 down - is the Ether ICO.
Why did top SEC officials like Clayton, Hinman and Berger choose to go after Ripple and #XRP?
Why intentionally select the more difficult case?
Why did top SEC officials like Clayton, Hinman and Berger choose to go after Ripple and #XRP?
Why intentionally select the more difficult case?
If enforcing securities laws was the true motive, why not go after the guys that knew for a fact that they were breaking the law but decided to do it anyway?
From the moment this case was filed, it was apparent it had NOTHING to do with enforcing U.S. securities laws. Period.
From the moment this case was filed, it was apparent it had NOTHING to do with enforcing U.S. securities laws. Period.
Knowing all the above, when you read the Complaint filed against the defendants, it becomes more apparent that this case was NEVER about enforcing securities laws. If it was, the charges against @Ripple, @bgarlinghouse and @chrislarsensf would’ve been alleged differently.
In fact, Garlinghouse and Larsen wouldn’t have been charged at all. After a 30 month intense and exhaustive investigation, the SEC did not find one provable instance of fraud or misrepresentation. Absent fraud, it is extremely rare to file a case against individual executives.
In fact, Brad Garlinghouse arrived at Ripple long after the founding of the company and after token distribution. I have yet to come across statements made by Larsen or Ripple co-founder @JedMcCaleb or Ripple’s CTO @JoelKatz, discussing a fear of going to prison over token sales.
Regardless, if the SEC was interested in enforcing securities laws it would’ve charged Ripple over specific offerings of #XRP related to specific transfers of the token. Instead, the SEC Complaint alleges ALL XRP are securities - even XRP traded in the secondary market. 🤦
The SEC absurdly claims every single XRP sale from any individual or entity is a violation of the law. Effectively, they’ve attacked the token itself - despite 76 years of precedent stating otherwise. Yes, the SEC is effectively claiming the oranges 🍊, in Howey, were securities.
From day one, this case has made zero legal sense. I’ve challenged the motive behind filing the case from the moment I read the Complaint. I’ve raised the issue of conflicts of interests and appearances of impropriety.
But now, @SECGov, itself, has bolstered those same claims.
But now, @SECGov, itself, has bolstered those same claims.
The SEC has officially made clear that the free pass came from Hinman personally - and NOT THE SEC.
In fact, Judge Netburn has declared that this issue is “settled.”
Hinman’s speech was ONLY his personal opinion and not a declaration of the agency itself.
In fact, Judge Netburn has declared that this issue is “settled.”
Hinman’s speech was ONLY his personal opinion and not a declaration of the agency itself.
What does this mean for #Ether, if anything?
@HaileyLennonBTC is an experienced securities lawyer involved in the cryptocurrency space. She recently tweeted out referencing some rumblings about the SEC thinking #Ether “is a security after all.”
@HaileyLennonBTC is an experienced securities lawyer involved in the cryptocurrency space. She recently tweeted out referencing some rumblings about the SEC thinking #Ether “is a security after all.”
If the SEC believes #ETH is a security it contradicts what @CGasparino was told.
If true, these rumblings magnify the conflicts of interests and appearances of impropriety related to the decision to file the case against Ripple and #XRP.
After 7 1/2 yrs of trading, why #XRP?
If true, these rumblings magnify the conflicts of interests and appearances of impropriety related to the decision to file the case against Ripple and #XRP.
After 7 1/2 yrs of trading, why #XRP?
Hinman collecting $15 million (while at the SEC) - from his law firm - a member of the Enterprise Ethereum Alliance (EEA) - can’t easily be brushed off as only retirement benefits. Especially considering he un-retired and immediately returned to SImpson Thacher after leaving SEC.
The fact that Hinman is now a partner at @a16z - with the same people who helped write ✍️ the speech giving #ETH a free pass (also members of the EEA) - can’t easily be brushed off as just typical revolving door actions. This is a massive and gross appearance of impropriety.
The fact that four months before filing the lawsuit against Ripple and #XRP, Joe Lubin and Consensys announce the purchase of Quorum and the #JPMCoin can’t be easily dismissed as coincidence (especially after Lubin claimed Ripple and #XRP were not competitors).
The fact that Clayton’s law firm, Sullivan & Cromwell, represented @ConsenSys and Lubin and brokered the deal wherein Consensys bought Quroum and the #JPMCoin - a direct competitor against Ripple and #XRP - can’t easily be dismissed as mere coincidence.
The fact that two months before the lawsuit against Ripple and #XRP, One River announced a $1 Billion bet on #Bitcoin and #ETH and shortly thereafter, Clayton resigned (before his term expired) and within weeks was hired by One River - can’t easily be dismissed as “conspiracy.”
The fact that the Director of Enforcement, Marc Berger - who was also behind filing this case - left the SEC three weeks after filing the case to become a partner at Hinman’s firm Simpson Thacher - a member of the EEA - can’t be easily dismissed.
The fact that Grundfest pleaded w/ Clayton not to file the case b/c it would damage both innocent holders and the credibility of the SEC as well as call into question the motive behind filing the lawsuit can’t be dismissed b/c Grundfest is an advisor to Ripple regarding the case.
Grundfest can’t be dismissed b/c one, he’s an unpaid advisor. Two, he acted as a liaison between the SEC and Ether founders working to help Ethereum (see👇).
Read his letter questioning the motive and the “mass exodus” of SEC leadership after filing this case.
Now ask why? 👇
Read his letter questioning the motive and the “mass exodus” of SEC leadership after filing this case.
Now ask why? 👇
The SEC has officially made clear that the free pass came yfrom Hinman personally - and NOT THE SEC.
In fact, Judge Netburn has declared that this issue is “settled.”
Hinman’s speech was ONLY his personal opinion and not a declaration of the agency itself. Read 👇 👇
In fact, Judge Netburn has declared that this issue is “settled.”
Hinman’s speech was ONLY his personal opinion and not a declaration of the agency itself. Read 👇 👇
What does this mean for #Ether, if anything?
@HaileyLennonBTC is an experienced securities lawyer involved in the cryptocurrency space. She recently tweeted out referencing some rumblings about the SEC thinking #Ether “is a security after all.” See 👇 👇
@HaileyLennonBTC is an experienced securities lawyer involved in the cryptocurrency space. She recently tweeted out referencing some rumblings about the SEC thinking #Ether “is a security after all.” See 👇 👇
https://twitter.com/haileylennonbtc/status/1482118583089991680
If the SEC believes #ETH is a security it contradicts what @CGasparino was told.
If true, these rumblings magnify the conflicts of interests and appearances of impropriety related to the decision to file the case against Ripple and #XRP.
After 7 1/2 yrs of trading, why #XRP?
If true, these rumblings magnify the conflicts of interests and appearances of impropriety related to the decision to file the case against Ripple and #XRP.
After 7 1/2 yrs of trading, why #XRP?
Hinman collecting $15 million (while at the SEC) - from his law firm - a member of the Enterprise Ethereum Alliance (EEA) - can’t easily be brushed off as only retirement benefits. Especially considering he un-retired and immediately returned to SImpson Thacher after leaving SEC.
The fact that Hinman is now a partner at @a16z - with the same people who helped write ✍️ the speech giving #ETH a free pass (also members of the EEA) - can’t easily be brushed off as just typical revolving door actions. This is a massive and gross appearance of impropriety.
https://twitter.com/digitalassetbuy/status/1440860750226935816
The fact that four months before filing the lawsuit against Ripple and #XRP, Joe Lubin and Consensys announce the purchase of Quorum and the #JPMCoin can’t be easily dismissed as coincidence (especially after Lubin claimed Ripple and #XRP were not competitors).
The fact that Clayton’s law firm, Sullivan & Cromwell, represented @ConsenSys and Lubin and brokered the deal wherein Consensys bought Quroum and the #JPMCoin - a direct competitor against Ripple and #XRP - can’t easily be dismissed as mere coincidence.
The fact that two months before the lawsuit against Ripple and #XRP, One River announced a $1 Billion bet on #Bitcoin and #ETH and shortly thereafter, Clayton resigned (before his term expired) and within weeks was hired by One River - can’t easily be dismissed as “conspiracy.”
The fact that the Director of Enforcement, Marc Berger - who was also behind filing this case - left the SEC three weeks after filing the case to become a partner at Hinman’s firm Simpson Thacher - a member of the EEA - can’t be easily dismissed. 👇
https://twitter.com/johnedeaton1/status/1464053571310305280
The fact that Grundfest pleaded w/ Clayton not to file the case b/c it would damage both innocent holders and the credibility of the SEC as well as call into question the motive behind filing the lawsuit can’t be dismissed b/c Grundfest is an advisor to Ripple regarding the case.
https://twitter.com/JohnEDeaton1/status/1475477241966567428
Grundfest can’t be dismissed b/c one, he’s an unpaid advisor. Two, he acted as a liaison between the SEC and Ether founders working to help Ethereum (see👇).
Read his letter questioning the motive and the “mass exodus” of SEC leadership after filing this case.
Now ask why? 👇
Read his letter questioning the motive and the “mass exodus” of SEC leadership after filing this case.
Now ask why? 👇
https://twitter.com/JohnEDeaton1/status/1447400529534066692
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