Stuart Alderoty, Chief Legal Officer (CLO) of Ripple Labs, and the XRP community have expressed their support on App perceived "injustice" in the LBRY. lawsuit.
Alderoty presented gratitude to Commissioner Peirce and suggested that when ongoing injustices occur in non-fraud cases, especially when consumers are still awaiting resolution for actual fraud cases, it may be necessary to ignore standard protocols and raise concerns more openly and quickly, potentially even filing an amicus curiae brief to address the matter.
The SEC Commissioner issued a dissenting statement on the LBRY lawsuit on October 27. Peirce emphasized that the commission has recently initiated numerous enforcement actions against cryptocurrency exchanges such as Ripple, LBRY, Kraken, Binance, and Coinbase.
Thank you commissioner. When we see injustices like this continue in non-fraud cases (while consumers wait for recourse for actual fraud), perhaps it's time to set aside the ordinary rules of protocol and speak up louder and sooner? Maybe even with an amicus curiae brief?
—Stuardo Alderoty (@s_alderoty) October 27, 2023
Peirce, among the many enforcement actions taken by the SEC, noted that the LBRY lawsuit was particularly perplexing to her. However, he expressed his inability to discuss it publicly due to the ongoing litigation.
In July, LBRY, a platform known for its blockchain-based payment and file-sharing network, was found to have violated Section 5 of the Securities Act of 1933. Consequently, LBRY was permanently banned from participating, either directly or indirectly, in any unregistered cryptocurrency securities offering involving its native token.
The crypto platform initially attempted to appeal a ruling by the US SEC, but later abandoned the effort due to perceived futility. Notably, the XRP community supported the platform during the legal process, including the appeal. However, when the litigation concluded in favor of the SEC, LBRY decided to close, citing financial burdens and regulatory pressure as the reasons for its closure.
Related:Community Reacts to SEC Dropping XRP Case and Closing LBRY
Pro-XRP attorney John E. Deaton, in response to the Commissioner's statement, He suggested that perhaps the time has come to file an amicus curiae brief. Deaton believes that just as 75,000 individual holders expressed their views in court, it is also important for someone with inside knowledge to speak in a court of law.
Deaton had expressed his disapproval of the SEC's actions against the company, which in his opinion had caused financial difficulties. This sentiment aligns with Commissioner Peirce's perspective, as she clearly expressed in her statement.
Magazine: Crypto Regulation: Does SEC Chairman Gary Gensler Have the Last Word?
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