Ripple Executive: "XRP Unaffected Even After US Senate Bill Stalls"

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Although the U.S. cryptocurrency market structure bill stalled in the Senate, Ripple's Chief Legal Officer emphasized that there is no change in XRP's legal status.

According to crypto-focused media U.Today on September 16 (local time), Ripple Chief Legal Officer Stuart Alderoty stated to XRP holders after the Senate vote that there is no need to worry about legal uncertainty. Alderoty said, “It's important not to forget that Ripple and XRP are already on an established legal foundation,” adding, “A 2023 federal court ruling established that XRP is not a security.”

Alderoty also cited recent moves by regulatory authorities. He mentioned that the U.S. Securities and Exchange Commission (SEC) and the U.S. Commodity Futures Trading Commission (CFTC) issued a joint interpretation last March, emphasizing that XRP's regulatory status does not solely depend on the passage of the U.S. cryptocurrency market structure bill.

Alderoty's remarks came immediately after the U.S. cryptocurrency market structure bill failed to pass a procedural vote in the Senate. The Senate recorded 49 votes in favor and 50 against in the cloture vote to proceed with the bill's deliberation. 60 votes were needed, falling short by 11 votes. Although additional negotiations continued until just before the vote, the bill could not advance to the next stage.

Ripple CEO Brad Garlinghouse also expressed disappointment with the outcome. Garlinghouse said, “This result is painful,” adding, “Our team put all its effort into passing the U.S. cryptocurrency market structure bill, and most of the industry did too.” He argued that the process of the bill's failure needs to be re-evaluated but stated that the overhaul of U.S. cryptocurrency regulation would not stop.

Garlinghouse predicted that the SEC and CFTC would lead the development of rules to fill the legislative void. He stated, “Under SEC Chairman Paul Atkins and CFTC Chairman Michael Selby, both agencies will continue to develop rules to fill the legislative void,” and added that Ripple would actively participate in the rule-making process.

[Article Key Summary]

-Stuart Alderoty emphasized that despite the U.S. cryptocurrency market structure bill's failure in the Senate vote, there is no change in XRP's existing legal status.

-The U.S. cryptocurrency market structure bill recorded 49 votes in favor and 50 against in the Senate procedural vote, failing to secure the required 60 votes.

-Brad Garlinghouse predicted that the SEC and CFTC would continue to develop rules to fill the legislative void.

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