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Filan - SEC has filed its Opposition to the Motion to Compel it to answer interrogatories


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A cryptocurrency is a form of digital asset based on a network that is distributed across a large number of computers.   As has been true in the past with other innovations, regulators have struggled with how to handle this new technology. This could not be any more evident than the actions taken by former Securities and Exchange Commission (US) Chairman Jay Clayton and his chief lieutenant, the former Director of Corporation Finance William Hinman. They were put in charge of the agency that possesses the most power to regulate such companies, but given no specific regulatory framework on how to treat cryptocurrencies – the asset class which powers this new technology. The result was a free hand for Clayton and Hinman to pick winners and losers at whim, which opened the door for potential abuse and self-dealing.



Edited by HAL1000
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Request for Admissions 1-18 ... SEC (paraphrase): "XRP doesn't look like a duck, walk like a duck, eat, drink, sleep, sh@t, breed or otherwise fart like a duck. But it can be sold like a duck, so it's a duck."

Well, to avoid a Section 5 violation yourself, you'd better hold on to your baseball cards, Louis Vuitton bags, comic books, Star Wars action figures, ad nauseam, cuz those can be sold like ducks too ...


Then we have Request for Admission 100 to 106 ... After TWO years of investigating we are to believe that the SEC has never once compared BTC, ETH and XRP networks in terms of speed, transaction cost, or electricity consumption?

I don't believe that for a second. And if it were true, who ran their TWO year investigation? Mr. Magoo? 


When told of XRP use cases, the SEC just says there were none ... never investigating any of the uses highlighted in  Request for Admission 107 to 116? Willful ignorance .. plain and simple. 


The SEC was stupid lazy as well.... not just in their failure to investigate, but with their responses. In Request for Admission 39 for example, "the Commission objects that the term “news” is vague" ... But the term 'news' isn't even used in the request! ("Admit that the price of ether affects the price of XRP). They just copied and pasted from Q38, Q40, & Q41.  As they did for so many other questions. 


You are correct, Ripple ... The SEC response was a mess.

Edited by RobertHarpool
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