Bill Morgan slams VanEck for silence on SEC’s XRP lawsuit bias, questioning their motives as they now criticize SEC’s unfair ETF approval process.
Ripple counsel Bill Morgan criticized VanEck for its apparent double standard regarding SEC favoritism, alluding to the company’s silence regarding the XRP lawsuit. VanEck, Canary Capital, and 21Shares recently submitted a letter to the SEC to reinstate their “first-to-file, first-to-approve” policy for ETF applications. In response to this move, the XRP lawyer questioned VanEck’s selective criticism of the SEC’s unfair treatment.
Bill Morgan accuses VanEck of a double standard regarding the SEC’s bias in the XRP lawsuit
VanEck, Canary Capital, and 21Shares, among other asset managers, recently signed a joint letter to SEC Chair Paul Atkins. The letter was intended to draw the commission’s attention to the “first-to-file, first-to-approve” standard for crypto ETFs, as CoinGape reported. VanEck wrote in an X post, “SEC favoritism undermines innovation in the ETF market,” urging regulators to assist in promoting fairness and innovation in the market.
Nevertheless, not all individuals are persuaded by the asset managers’ perspective. In an X post, VanEck’s motives were called into doubt by XRP lawyer Bill Morgan, noting their previous silence in the Ripple lawsuit. He contends that VanEck and other asset managers failed to express their concerns when the Securities and Exchange Commission classified XRP as a security and Ethereum as a non-security. His post stated, “I do not recall you complaining about SEC favoritism when Ethereum was granted a free pass and Ripple was sued over XRP sales.”
The SEC’s Alleged Favoritism in the Ripple Case
Ethereum received a free pass when the agency sued Ripple in 2020 for allegedly selling an “unregistered security,” as it was classified as a non-security. This has caused concern among community members, who have questioned the SEC’s purportedly biased approach. Additionally, the SEC has been scrutinized for allegations of conflicts of interest.
In a 2018 speech that sparked controversy, William Hinman declared, “Current offers and sales of Ether are not securities transactions, based on my understanding of the present state of Ether, the Ethereum network, and its decentralized structure.” Later, the community was disappointed with the credibility of the Hinman report when the SEC publicly released it.
Experts like John Deaton cited concerns over the report’s objectivity, consistency, and transparency, further fueling skepticism about the SEC’s handling of crypto regulations.
As per Bill Morgan’s most recent allegations, VanEck and other investment titans maintained their silence throughout the protracted legal dispute between Ripple and the SEC. He emphasizes the inconsistency in their conduct; the recent letter contrasts their apparent inaction during Ripple’s legal ordeal.
Morgan’s accusations are made in the context of the growing expectation for the Ripple vs SEC case settlement. The SEC’s 60-day deadline to submit a report to the Appeals Court concludes on June 16, and the community is anticipating significant developments.
