- Ripple CLO has called for an end to SEC overreach in 2025.
- Variant Fund CLO cautioned of a slow but positive crypto regulation outlook.
US crypto executives expected better regulatory clarity in 2025 under the new Trump administration.
In a recent X (formerly Twitter) post, Stuart Alderoty, Ripple’s chief legal officer, called for an end to SEC overreach in 2025.
Source: X
Some issues highlighted are linked to the ongoing Ripple-SEC lawsuit. For the uninitiated, the agency sued Ripple for selling XRP without security registration.
Although the courts determined that the XRP sale on exchanges didn’t constitute a ‘security’ offer, the institutional sale was security.
The regulator is due for an appeal in mid-January. However, with pro-crypto SEC chair Paul Atkins, most analysts expect that the new administration will dismiss the appeal.
2025 crypto regulation outlook: Slow but positive
Despite being hopeful, Jake Chervsinsky, CLO of crypto VC Variant Fund, warned community members to lower their expectations of a radical, fast-tracked policy shift. He said,
“The market may overestimate what can be done in a day. DC moves slowly, and real change takes time and hard work. But all the stars are aligned for crypto in 2025.”
On his part, Coinbase CLO Paul Grewal gave a recap of crypto regulation in 2024 and stated,
“If the most lasting contribution from crypto in 2024 is the reminder that US law comes from Congress, not agencies, as enforced by courts—I’m good with that.”
Put differently, he reinforced that the real policy shift begins with the US Congress.
Interestingly, the industry understood this and drove a massive lobbying effort in the 2024 US elections. Now, the space is set to have the most pro-crypto Congress and President in history.
The sector’s resounding resolve behind the pro-crypto Trump candidacy was informed by the reported SEC overreach and infamous regulations by enforcement approach.
Apart from Ripple, the SEC sued Coinbase and Binance and intended to indict DeFi leaders like Uniswap.
However, all these could change when President Donald Trump officially resumes office on the 20th of January, at least per the community expectations.
That said, the sector has pushed for better crypto regulation through Stand With Crypto (SWC), a global crypto advocacy organization.
Some of the top crypto bills include the market structure bill, dubbed the FIT21 Act, the SAB 121 Joint Resolution, and the CBDC Anti-Surveillance State Act.
Source: Stand With Crypto
More regularity clarity could allow the US to catch up to the EU’s MiCA guidelines, which became effective on the 30th of December 2024.
