Renowned Bitcoin advocate Max Keiser insists that all cryptocurrencies, except for Bitcoin, should be classified as securities.
In a recent tweet, Max Keiser, an advisor to the El Salvadorian government on Bitcoin, boldly proclaimed that XRP and all other cryptocurrencies should be classified as securities except for Bitcoin.
Keiser’s tweet was in response to recent statements by Gary Gensler, the U.S. Securities and Exchange Commission (SEC) chairman, regarding the regulatory classification of digital assets. During a question-and-answer session at the 27th annual Financial Markets Conference hosted by the Federal Reserve Bank of Atlanta on May 15, Gensler referred to crypto markets as “generally non-compliant”, adding that they were based on the “false narrative of decentralization”.
In response to Gensler’s statement, Keiser tweeted on May 16; –
“Gary’s right. Everything not Bitcoin, is a security (including ETH & XRP). We already put this into law in El Salvador. We’re Bitcoin Country and we’re thriving. I invite Gary Gensler to El Salvador to come and see how we became the leading BTC country in the world.”
But Keiser’s criticism of XRP did not end there. On Wednesday, May 17, the self-proclaimed Bitcoin maximalist continued his tirade, labelling Ripple as “crooks” and supporting the SEC’s decision to shut them down.
“Ripple are crooks. Their business model is selling unregistered securities. The SEC is right to shut them down,” Keiser stated, commenting on an article highlighting Ripple’s $250 million acquisition of Swiss custody firm Metaco.
Keiser’s recent rants have triggered intense discussions within the cryptocurrency community, with some members of the XRP community engaging the Bitcoiner in heated conversations. One notable XRP enthusiast, Mr Huber, referred to Judge Analisa Torres’ recent ruling. Recently, the judge ordered the sealing of documents related to Ripple’s XRP sales to On-Demand Liquidity clients, citing the need to protect sensitive information concerning Ripple’s primary business line.
“A judge calling to protect Ripple’s sales of XRP because it’s their main line of business also doesn’t sound the slightest like a judge who is going to shut it down,” Huber wrote in a Thursday, May 18 tweet tagging Keiser.
That said, the assertions by Keiser, who has long been an ardent supporter of Bitcoin, highlight a growing debate on the regulatory status of various cryptocurrencies. Keiser implies that these digital assets should be subjected to stricter regulations to safeguard investors’ interests by categorising cryptocurrencies as securities. On various occasions, chair Gensler reiterated that all cryptocurrencies apart from Bitcoin are securities and should be regulated under existing laws.
That said, amidst the ongoing debate surrounding cryptocurrency regulation, industry participants, investors, and regulators eagerly anticipate clearer guidelines from the SEC or lawmakers. It will also be interesting to see what the court finally decides in the ongoing SEC vs Ripple Lawsuit with judgement day drawing near.