Regulators deliver good news for ethereum and bitcoin, but there’s less clarity for XRP
A top US official has provided some clarity about how crypto assets should be regulated. Bitcoin and ether are not securities, according to a senior Security and Exchange Commission official, meaning they don’t have to comply with strict US requirements on registration, disclosure, and accreditation of investors. The regulator made no direct mention of XRP, a crypto token that money-transfer company Ripple has promoted.
Digital assets have been in a bear market this year—bitcoin has fallen some 50%—but ether and bitcoin jumped yesterday (June 14) around the time reports emerged (paywall) on the SEC’s stance. XRP, which like all virtual assets tends to be highly volatile, diverged from bitcoin and ether, according to CoinDesk prices.
“Today is going to be looked back at as somewhat of a momentous day,” said Adam White, general manager at crypto exchange Coinbase, in an interview with podcast host Laura Shin
. Guidance that ether isn’t a security gives the crypto industry the confidence to move forward on projects, he said.