Brad Garlinghouse, the CEO of Ripple, took to social media to voice his disapproval of SEC Chair Gary Gensler's recent comments on the state of cryptocurrency compliance.
Garlinghouse accused Gensler of hypocrisy, citing his associations with what Garlinghouse termed "the biggest fraud in recent memory."
He further criticized Gensler's leadership for harming consumers and undermining the integrity of the SEC while maintaining close ties with Wall Street.
Gensler's stance on crypto compliance triggers Ripple's ire
The response from Ripple's CEO came after Gensler pointed out widespread noncompliance in the cryptocurrency space.
Gensler expressed concern over the damage to consumer confidence. He pointed to the plight of those left to deal with the fallout in bankruptcy courts.
He emphasized the challenges faced by compliant actors in the industry due to the actions of non-compliant entities.
Ripple's legal chief calls out SEC's regulatory failures
In a broader critique of the SEC, Stuart Alderoty, Ripple's chief legal officer, underscored a pattern of what he views as regulatory missteps by the Commission.
Alderoty referenced several court cases where the SEC was criticized for its inconsistent and at times arbitrary regulatory approach.
He pointed to instances where the SEC was called out for not adhering to legal standards and procedures, such as failing to meet deadlines for amending regulations and declining to offer clarity on the classification of syndicated loans.