Ripple (XRP)’s Chief Legal Officer (CLO), Stuart Alderoty, took issue with Securities and Exchange Commission (SEC) Commissioner Caroline Crenshaw’s stance on cryptocurrency regulation. After dissenting against spot Bitcoin ETFs, Alderoty called her more ‘rogue’ than SEC Chair Gary Gensler. Last week’s crypto sector fallout came amid ongoing scrutiny over Crenshaw’s potential renomination to the SEC.
Stuart Alderoty Criticizes Crenshaw’s Resistance to Bitcoin ETFs
Stuart Alderoty’s comments follow growing concerns among crypto community members about Crenshaw’s regulatory actions. Even after a court ruling loosened the SEC’s stamp on spot Bitcoin ETF approvals, Crenshaw has consistently said he opposed them. After the court found the SEC’s actions to be ‘arbitrary and capricious,’ Gensler changed his position, but Crenshaw stood his ground by continuing to dissent in defence of the agency’s position.
The backlash from cryptocurrency leaders over her firm opposition to Bitcoin ETFs has been sharp. She has been openly opposed by Coinbase CEO Brian Armstrong, who claims that her stance would hurt the growth of the industry. That’s because there is a sense that a clear regulatory framework is necessary for growing the crypto space.
Blockchain Groups Push to Block Crenshaw’s Reappointment
The cryptocurrency industry has come together to fight against Crenshaw’s renomination to the SEC. The Blockchain Association and the Defi Education Fund are among the organizations that petitioned the Senate Banking Committee to reject her reappointment. These groups contend she has thwarted efforts to enable a positive outcome of transparent crypto policies and regulations.
Cedar Innovation Foundation has also rolled out an ad campaign to highlight Crenshaw’s supposed anti—CEO posture. The foundation refers to her as ‘more anti-crypto than Gary Gensler’ in that she continues to reject spot bitcoin ETFs. The campaign is just the latest expression of industry concerns that the current leadership at the SEC is an obstacle to progress for crypto businesses.
SEC Leadership in Flux as Crenshaw’s Renomination Stalls
The Senate Banking Committee has already pushed back the vote on Caroline Crenshaw’s renomination from an initial December 11 date. The delay adds uncertainty about the future of SEC leadership when the securities regulator is under pressure in a potential Republican administration. Crenshaw’s term ended in June, but she continues to serve on the commission, as her reappointment has yet to be made.
Uncertainty about her future at the SEC also comes as the agency increasingly chafes at its regulatory approach. Industry leaders have pointed out that the SEC should take a more balanced and clearer stance on promoting crypto space innovation. This debate continues as the sector struggles to achieve clarity in treating digital assets.
Conclusion XRP’s Legal Chief Slams SEC’s Crenshaw
During her tenure at the SEC, Caroline has pushed back against tougher climate disclosures that corporations must provide and more crypto activities to be overseen by the government. Although her term has expired, she still holds much sway at the agency. However, her positions supporting considerable enforcement against Initial Coin Offerings and her recent stance against Bitcoin ETFs have kept the debate surrounding her role at the SEC going.
