In a recent X post, Charles Hoskinson, the notable blockchain entrepreneur and creator of Cardano, weighed in on the longstanding debate surrounding Ethereum's connection to the U.S. Securities and Exchange Commission and their alleged conspiracy against Ripple and XRP. Hoskinson's comments came as a response to renewed discussions sparked by Steven Nerayoff, an early adviser to the Ethereum network.
Gamza KhanzadaevHoskinson recalled Ethereum's early days, highlighting its humble beginnings as an $18 million initial coin offering (ICO). He suggested that during this nascent period, the SEC conveniently turned a blind eye to Ethereum, allowing it to thrive unchecked. However, according to Hoskinson, personal relationships and behind-the-scenes dealings may have played a pivotal role in this regulatory leniency.
Nevertheless, the Cardano founder dismissed the notion of Ethereum bribing the SEC to target Ripple and XRP, labeling it a baseless conspiracy theory. He pointed out that Ripple was not even operating in the same smart contract space and, therefore, could not be a competitor.
What's going on?
The controversy was initially ignited by Steven Nerayoff, who claimed that a fabricated case had been built against him due to his knowledge about Ethereum's ICO. He asserted that individuals associated with the SEC, the Department of Justice, the FBI and even Ripple were involved in this alleged plot. Notably, Nerayoff emerged victorious in his legal battle.
Nerayoff's lawyer subsequently issued a statement, indicating that Nerayoff intended to reveal what he knew but would follow proper procedures to do so, serving the interests of justice and the public.
Alex Dovbnya
Vladislav Sopov
Dan Burgin
U.Today Editorial Team