Prominent crypto hater slams crypto firm that files lawsuit against SEC for harming crypto industry
- “Crypto crooks now blame SEC”
- Roubini and Calvin Ayre tweet sarcastic comments
Economist Nouriel Roubini, also known as “Dr. Doom” for his accurate prediction of the 2008-2009 mortgage crisis, who is also a vocal hater of crypto, took to Twitter to express his distaste for the cryptocurrency space knit.
He shared a link to an article on LinkedIn about crypto-focused firm Hodl Law PLLC suing the US Securities and Exchange Commission, saying it was based on “completely false arguments.” Among them, according to Roubini, is an accusation against the SEC over the recent collapse of FTX.
As a reminder, the SEC has been involved in a lawsuit against Ripple Labs and XRP, claiming that the latter is an unregistered security and suing Ripple’s top executives for selling it to investors.
“Crypto crooks now blame SEC”
In his disparaging comment, Roubini referenced a LinkedIn post by John Reed Stark, president of John Reed Stark Consulting and former head of the SEC Office of Internet Enforcement.
Stark, a lawyer and former high-ranking SEC executive, slammed the lawsuit against the securities regulator, calling it “perhaps one of the most ridiculous legal documents” he’s ever read related to the crypto space.
Basically, the crypto law firm accuses the SEC of three things: lack of regulatory clarity provided to the crypto space, violation of the rights of legally sanctioned crypto financiers and “failure to provide ‘fair notice’ of its anti-crypto attitude.” Moreover, the SEC is overstepping its authority by practicing “regulation by enforcement” and stifling innovation in the fields of digital currencies and blockchain.
The complaint, in particular, states that the SEC has no jurisdiction over digital assets of the US Congress and that the SEC’s entire strategy has been “to be deliberately ‘confusing’ in order to maintain maximum flexibility to prosecute at will ( and without reasonable notice). ).” The complaint also looks at the SEC’s attempt to classify the digital assets of companies attacked by it as securities, while long ago it labeled Ethereum’s ETH as a non-security.
Defendant has refused to provide public guidance on its subjective belief regarding the classification status of the Ethereum Network and Ether DCU despite thousands of requests from the American public.
Roubini and Calvin Ayre tweet sarcastic comments
Nouriel Roubini, a well-known critic of cryptocurrencies, said in his tweet that the plaintiff blames the “FTX debacle and upcoming crypto extinction” on the securities regulator.
John Reed Stark on LinkedIn: Crypto-focused law firm Hodl Law PLLC sued the US Securities..
based on totally false arguments. Crypto crooks now blame SEC for FTX debacle and coming crypto wipeout. What a pile of crypto miss pseudo arguments! https://t.co/bFRJik8NJ7
— Nouriel Roubini (@Nouriel) 24 November 2022
To him, the arguments mentioned in the complaint are “pseudo-arguments.” Billionaire and supporter of Bitcoin SV chain (as well as of self-proclaimed Satoshi Nakamoto Craig Wright) Calvin Ayre tweeted to agree with Roubini. He wrote that this lawsuit will likely harm the entire crypto space, as it “underscores how moronic most everything in crypto is.” In addition, he called the name of Hodl Law PLLC a “ponzi scheme for retail consumers in crypto.”