The XRP community accuses the US SEC of favoring Bitcoin and Ethereum, citing inconsistent treatment, escalating debate over the agency’s handling of the crypto markets.
The XRP community has criticized the US SEC for allegedly manipulating the crypto market. In a recent series of social media posts, numerous crypto enthusiasts accused the SEC of favoring Bitcoin and Ethereum.
They also highlighted statements made by William Hinman, a former director of the SEC, about Ethereum, which has fueled ongoing discussions about long-standing controversies in the crypto market.
XRP Community Accuses US SEC of Market Manipulation
The XRP community has reignited discussions on X, challenging the US SEC’s perceived bias towards Bitcoin and Ethereum.
An X user named “Digital Asset Investor” recently posted a video featuring former SEC counsel Nancy Wojtas.
In the video, Wojtas stated, “Tokens are mutable, you know they can change. That’s what Bill Hinman said. And it’s like, well, we don’t really believe that.”
According to the XRP community, this statement exposes the SEC’s inconsistency, as it allowed Ethereum to grow while placing other digital assets, such as Ripple’s native token, under scrutiny.
The user further alleged that the agency deliberately created regulatory ambiguities to give Bitcoin and Ethereum a competitive advantage.
The community also questioned why Ethereum’s co-founder, Vitalik Buterin, who recently admitted to selling ETH to support various projects, hasn’t faced the same legal challenges as Ripple. Buterin commented on his ETH sales, saying:
“All sales have been to support various projects that I think are valuable, either within the Ethereum ecosystem or broader charity, such as biomedical R&D.”
The XRP community responded critically, comparing his actions to a securities transaction and questioning why the SEC hasn’t taken similar action against Ethereum.
Ripple Lawsuit Draws Criticism Amid Ethereum ETF Launch
The legal battle between Ripple and the US SEC, which recently concluded, lasted four years without any fraud accusations, causing frustration among the XRP community.
Many argue that the SEC’s aggressive stance toward Ripple contrasts sharply with its treatment of Ethereum.
Additionally, Digital Asset Investor questioned why the SEC halted its investigation into whether Ether is a security, pointing to former director Hinman’s 2018 statement that Ethereum was not a security.
This decision, along with Hinman’s involvement in the crypto industry, has long been controversial.
Pro-XRP lawyer Bill Morgan echoed this sentiment, referencing Elon Musk’s comments on monopolistic behavior by industry regulators.
Morgan suggested that the SEC’s actions under Hinman and former Chair Jay Clayton showed clear favoritism.
The XRP community’s concerns have grown this year, especially after the SEC dropped its lawsuit challenging Ethereum’s status as a security.
This also coincides with the imminent approval of the first Spot Ethereum ETF in the US.
