Mike Novogratz, CEO of Galaxy Digital and former Goldman Sachs utive, recently shared his views on Ripple’s milestone victory against the U.S. Securities and Exchange Commission (SEC) last week. He said that it’s a “big win” for Ripple and would have a greater impact on the entire crypto community.
The SEC, however, has been trying to downplay Ripple’s win since the court stated that the institutional sales of XRP constituted ‘securities’. Commenting on this Novogratz said:
“It was a big big win for Ripple and a big big win for the #crypto community. Let’s not let Gary Gensler put lipstick on a pig. They (the SEC) lost and they know it”.
Thus, if the SEC consider proceeding ahead with the litigation, they will have to litigate every token in crypto, separately along with its use. However, it would be a mammoth and almost impossible task for a regulator. Novogratz stated that the current status quo won’t be working for the SEC. Even if the SEC appeals the court judgment, it could be taking them years together to reach a conclusion.
All this time, crypto players like Coinbase and others have been urging the SEC to bring clear regulatory rules for cryptocurrencies. However, the federal securities regulator has been neglecting this matter stating that the rules are already clear.
Novogratz has objected to SEC’s stand stating: “Gary has been saying, ‘come in, the rules are clear.’ The rules are absolutely not clear. The judge just basically said to the SEC, ‘You’re wrong.’”
Next, Novogratz shifted his focus to US Rep. Ritchie Torres’ letter addressed to the SEC, which followed the Ripple ruling and strongly criticized the regulator’s approach to enforcing regulations.
Summarizing the contents of the letter from the New York Democrat, Novogratz emphasized“It’s time…for the White House, for the SEC, for Democrats to sit down with the Republicans and give us some damn legislation so we can get on with life.”
Apart from Ripple’s historic victory, Novogratz also touched down on the recent flood of spot Bitcoin ETF applications stating that this would boost the adoption cycle for the world’s largest cryptocurrency. He also added that retail players will play a significant role in boosting Bitcoin adoption.
“I’m more comfortable being along Bitcoin today than I was six months ago. What drove Bitcoin this year was retail…and now we’ve got an ETF on the way,” he added.
Novogratz also shared about the preparedness of Galaxy Digital in the case of another crypto winter. “We prepared for a longer winter than we’re hoping we’re going to get. We’re certainly not out of the woods in general in the overall industry but it feels a whole lot better,” he said.
