Ripple Labs has submitted a formal response to the U.S. Securities and Exchange Commission (SEC) following a public call for input by Hester Peirce, head of the agency’s Crypto Task Force.
Peirce, who titled her appeal “There must be some way out of here,” signaled a shift in regulatory posture. Her request highlighted the need to eliminate the confusion caused by prior SEC leadership concerning digital asset classification and enforcement.
Ripple used the opportunity to criticize the previous SEC administration led by Gary Gensler openly. The company stated that earlier guidance was vague, unnecessarily complex, and lacked legal grounding.
According to Ripple, the former approach allowed the SEC to operate without clear legal limits, creating challenges for crypto firms trying to stay compliant.
The company pointed to what it called a regulatory strategy built on ambiguity. Ripple claimed the SEC leveraged confusion as a shield for not adhering closely to federal securities laws.
Also Read: Ripple Fires Back at SEC, Demands End to Crypto Confusion in Explosive New Letter
Inside Ripple’s Three-Part Proposal to the SEC
Ripple outlined three main actions it believes the SEC should take to resolve ongoing regulatory issues in the crypto market. The company framed its proposals as restoring legal clarity and market confidence.
Ripple asked the SEC to regulate only the assets that satisfy the established legal definition of securities before all else. The argument stated that numerous digital tokens without yield or profit-sharing rights should be exempt from SEC control.
The second initiative advocated that the SEC maintain its operations within the boundaries established by current laws. Ripple emphasized through its submission that Congress remains the only authorized body to develop new rules.
The document warned that the history of SEC’s broad law interpretations generates unneeded business threats and industry confusion.
The third basis demanded official and simple regulatory instructions. Ripple supported recent SEC Corporation Finance Division comments stating that Meme coins do not qualify as securities.
The company declares that direct regulatory guidance assists the industry by reducing legal risks and confusion.
Ripple’s response reflects its ongoing struggle with the SEC, which led to a lengthy court case. That legal battle is nearing a close after the SEC dropped its appeal. One remaining aspect is Ripple’s cross-appeal, which legal observers believe could be withdrawn if both parties reach a favorable settlement.
Conclusion
Ripple’s proposals highlight growing pressure on the SEC to take a more transparent and law-driven approach to crypto regulation. As the agency reconsiders its position, Ripple’s detailed feedback may help shape a more straightforward path forward for the broader digital asset industry.
Also Read: $500 Billion in XRP? Something Huge Might Be Coming For XRP Community
