Ripple backs SEC crypto rule after $150M legal fight, seeks key changes

Ripple has urged the U.S. Securities and Exchange Commission (SEC) to adopt its proposed Regulation Crypto Assets, arguing that clearer rules could prevent cryptocurrency companies from facing costly legal disputes over whether their tokens fall under securities laws. Ripple filed a 20-page comment letter on October 20 supporting the SEC's proposed Regulation Crypto Assets. The company argues that an investment contract can be a security without making the associated cryptocurrency a security itself. Ripple wants the SEC to judge when investment contracts end using an issuer's promises, not a general decentralization test.