Ripple’s Chief Legal Officer Stuart Alderoty has accused US regulators of unfairly targeting crypto in money laundering investigations. 🧐 Alderoty, who noted that the New York Fed facilitated large-scale illegal transfers linked to terrorist groups, emphasized that crypto was not the real culprit.

According to the WSJ report, some Iraqi banks illegally moved billions of dollars through the Fed system, indicating that traditional banking was being ignored.

Alderoty argued that the SEC and the Fed were scapegoating crypto while ignoring larger violations in traditional banking. He noted that less than 1% of crypto transactions were linked to illegal activity.

US regulators’ focus on crypto is negatively impacting the growth of the industry. Ripple CEO Brad Garlinghouse also supports this view. 💡