OpenSea Raises Eyebrows with Ripple Snub
OpenSea, the largest NFT marketplace, has raised some eyebrows after failing to mention Ripple in its response to the U.S. Securities and Exchange Commission's Wells Notice.
In its response, OpenSea stated that it was "shocked" by the SEC's "sweeping move" that targets creators and artists.
A Wells notice is meant to notify a recipient about an ongoing investigation. It also means that the SEC is likely to bring an enforcement action against them. However, such an outcome is not certain.
Tomiwabold OlajideOpenSea argues that the regulator could put thousands of creators at risk with its "saber-rattling."
No Ripple?
The NFT marketplace has mentioned numerous companies that have been fighting against the SEC, including Coinbase, Uniswap, and Kraken. However, Ripple, which famously scored a major win against the regulator last July, has been seemingly snubbed by OpenSea. This omission has not been left unnoticed by some community members.
"Ripple has spent hundreds of millions of dollars fighting the SEC, and numerous companies have relied on the Ripple lawsuit in their defenses. Yet, Opensea has somehow failed to acknowledge them—what a disappointment," one social media user wrote.
A backlash against the SEC
The SEC's most recent action has expectedly attracted strong backlash within the community.
Crypto analyst Adam Cochran has opined that it is "easily one of the dumbest Hail Marys" that SEC Gary Gensler has thrown yet.
Billionaire Mark Cuban has also lashed out at the SEC boss, siding with OpenSea.
OpenSea has now pledged $5 million in order to cover legal fees for NFT creators.
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U.Today Editorial Team