What’s more, in an unexpected twist of incidents, the XRP price has surged owing to the recent remarks made by the SEC Chairman Gary Gensler who hints that he may resign any time soon. Gary Gensler as the chair of the SEC has faced many cryptocurrency regulations controversies. He recently made comments stating that his tenure might soon be over. XRP investors are taken aback with this move and cling to hope about a more favorable shift in the current legal landscape with his resignation.
Gensler Hint at Resignation
Gensler’s comments came during his address to the 56th Annual Institute on Securities Regulation that was hosted by the Practising Law Institute (PLI). Toward the end of his speech, as he concluded while addressing the audience, Gensler thanked them for the opportunity and many considered it as goodbye.“It’s been a great honor to serve with them, doing the people’s work, and ensuring that our capital markets remain the best in the world,” he said subtly, hinting at an exit. The complete speech of Gensler is posted on the official website of SEC.
How Gensler Resignation Could Impact XRP
XRP along with its parent company Ripple Labs, has had a rough time dealing with the leadership of Gensler at the SEC. Towards the end of 2020, there was an ongoing case against Ripple, where the Securities exchange Commission argued that XRP is an unregistered security. This has led to XRP being kept in limbo regarding its regulation in America. Many people who are fans of crypto believe that with a new person to lead the SEC in place, it will be easier to resolve the matters amicably or at the very least tone down the extreme measures Gensler has towards digital assets and cryptocurrencies.
XRP Price Reaction and Market Sentiment
The XRP price prediction rocketed following his resignation, as investors speculated on regulatory shifts that may come in. Such a rally of the token, coupled with the legal dispute that asset is involved in, shows how sensitive the crypto market has been to regulatory news. Market participants appear to be gambling on a crypto-friendly approach from the next SEC chairman that would eventually calm down the case and reduce pressure from regulators on XRP.
A New Chapter for Crypto Regulation?
Gensler has had a rather tumultuous tenure with a lot of focus on the crypto industry. During his tenure, several projects and exchanges received enforcement actions. At the same time, if he leaves, it may open the way for a much more balanced regulatory framework, which could be much friendlier but still will address investor protection issues.
It remains uncertain if Gensler’s appointment by the SEC will warrant any further pronouncements about his role and more importantly the agency’s next course of action. Good news, however, seems to be on the way for XRP investors as they are gearing up for a better regulatory framework that would be expected as the cryptocurrency space continues to grow.
