How does the crypto market react to the XRP vs SEC Battle? Should Investors be concerned?

The crypto industry has experienced several scandals, ranging from exchange hacks to fraudulent ICOs. Such events have often led to negative press and caused significant price drops in the market. One example is the FTX scandal, where the CEO, Sam Bankman-Fried, was accused of insider trading.

Following the FTX crash, where customers lost millions of dollars, the crypto industry woke up to a regulatory hell. The SEC (US Securities and Exchange Commission) is targeting anything and everything crypto-related, with the massive backing of the Biden administration.

The SEC crackdown began in 2020 with Ripple (XRP) being scrutinised for conducting an unregistered $1.3 billion securities offering by selling the cryptocurrency XRP. Ripple has been fighting this accusation from day one, proclaiming that crypto does not come under the umbrella term “security”. Coinbase, a US-based crypto exchange, is the latest in scrutiny and was served a “Wells Notice” for offering unregistered securities.

These scandals have translated into bad press, which has undoubtedly affected the public’s perception of the crypto industry, fueling the narrative that it is a haven for fraudsters and criminals. The recent crackdown from the US government can be considered the first step from regulatory bodies worldwide to impose stricter regulations to mitigate such incidents.

The SEC action is likely to stop sometime soon; however, the core debate of whether cryptocurrencies are securities will have a better standing once the New York court rules on the XRP vs SEC battle.

Meanwhile, the SEC notice against Coinbase has sparked a hot debate in social media. Coinbase is regarded as an organisation that has heavily invested in adhering to all applicable rules in the United States, even if it means moving more slowly or losing a competitive edge compared to other exchanges that choose to take shortcuts.

Thus, the regulatory action is despised by many top analysts and investors across the US.

“Over the past nine months, [Coinbase] has met with the SEC more than 30 times, sharing details of our business to build a path to registration,” said Paul Grewal, Chief Legal Officer at Coinbase. “

SEC’s action with Coinbase is quite difficult to interpret by the crypto community since the company has been traded publicly for years and to raise objections to its core workings suddenly. There is still a need for understanding behind the SEC investigation, as it is difficult to see how this action safeguards investors.

The SEC’s relentless actions could lead to stricter regulations for the crypto industry, making it challenging for some crypto businesses to operate in the US. However, it could also lead to increased institutional adoption of crypto as the regulatory environment becomes more stable.

In summary, while scandals in the crypto industry have had a negative impact on public perception, the industry has shown resilience and continues to evolve. The regulatory landscape will undoubtedly play a significant role in shaping the industry’s future, hopefully for the better.

Big Eyes (BIG) is a community coin with the core idea of democratising De-Fi (Decentralised Finance) through its cuteness. Furthermore, Big Eyes Coin is a coin for the earth and the people. The platform will reserve a certain number of tokens donated to organisations that work to clean up our daily pollution and restore the oceans.

In light of Big Eyes Coin’s performance to date, investing before it is listed on exchanges would likely benefit your investment.

Follow the link below if you would like to find out more about purchasing in the Big Eyes presale!

Contact Information: