Ripple executive says US DoJ decision is “necessary” to bring crypto into compliance
- Ripple Chief Legal Executive Stuart Alderoty supported US DoJ’s decision on Binance.
- Alderoty stated that the Binance resolution of AML violations is necessary to bring compliance with these laws to crypto.
- This shocking development has caused millions of dollars worth of liquidations in the past few hours.
Ripple Chief Legal Executive Stuart Alderoty has commented on the recent developments of the US regulators versus crypto exchange Binance. Alderoty says this step was necessary to bring important AML laws to crypto.
The Binance resolution of anti-money laundering (etc.) violations is a necessary step to bring the crypto industry into compliance with these important laws and safeguards. Big banks all went through some version of this years ago.
— Stuart Alderoty (@s_alderoty) November 21, 2023
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Alderoty compares this decision from the US regulators to what big banks went through a few years ago.
Ripple legal executive makes a clear distinction that the US Department of Justice (DoJ) has not mentioned “securities violations” even once.
Importantly, nowhere does the DOJ suggest that Binance committed securities law violations or even suggest that the assets traded on its platform are securities.
Stuart Alderoty notes the absence of the US Securities and Exchange Commission (SEC) in this recent settlement that was due to the combined efforts of the Commodity Futures Trading Commission (CFTC) and US DoJ. He adds,
the agency – under Gensler – has not only become an outlier globally, but an outlier within its own government.
In his tweet thread, Stuart Aleroty comments that the actions of the US SEC and the use of the “crypto asset securities” word was absent from the DoJ’s case against Binance and that it has no meaning under the law.
Also read: Binance settles with US DoJ as markets anticipate official announcement, CZ steps down as CEO
Author
Akash Girimath
FXStreet
Akash Girimath is a Mechanical Engineer interested in the chaos of the financial markets. Trying to make sense of this convoluted yet fascinating space, he switched his engineering job to become a crypto reporter and analyst.
