On July 18, Representative Ritchie Torres sent a letter to Gary Gensler, the chairman of the United States Securities and Exchange Commission (SEC), requesting the agency to focus on identifying and pursuing the wrongdoers in crypto rather than targeting legitimate businesses.
Ritchie Torres criticizes the SEC
United States Democratic Party lawmaker Rep. Ritchie Torres (D-NY 15th District) also applauded Judge Analisa Torres’ ruling on the Ripple vs. SEC case while chastising the watchdog.
Judge Analisa Torres of the United States Southern District Court of New York ruled on July 13 that XRP cannot be entirely considered a security. Subsequently, Ripple’s token sale on exchanges didn’t constitute a securities contract or offer.
In a letter dated July 18, addressed to the Honorable Gary Gensler, Rep. Torres inquired whether the agency has “come to terms with the folly” of its crusade against crypto in light of the recent ruling.
A landmark legal opinion
Rep. Torres further commended the ruling, describing it as a “landmark legal opinion that resoundingly rejected the regulatory overreach of the SEC,” which has indiscriminately bundled all cryptocurrencies, except Bitcoin, under its securities umbrella.
While legal experts have opined that the battle between Ripple and the SEC is not over yet, as the regulator would appeal the ruling and potentially overturn the former’s partial victory, Rep. Ritchie has, however, stated that the ruling had laid a solid foundation for clear-cut and amenable crypto rules nonetheless.
“Indeed, the latest court decision establishes a clear rule that should bear the name of Judge Torres, who has brought long overdue legal clarity to the chaos of crypto regulation,” he added.
In recent months, the SEC has taken several enforcement actions against legit crypto market participants, including Brian Armstrong’s Coinbase, triggering much criticism from web3 enthusiasts.
Rep Torres has urged the SEC to concentrate its energies and resources on hunting down bad actors who “perpetrate serious crimes like fraud, market manipulation, and the misappropriation of customer funds” rather than making life difficult for legitimate crypto businesses.