Pressure Mounts on Gensler to Release IG Report as New Letter Exposes XRP’s Unfair Treatment and Ethereum’s Free Pass
Author: Content Editor
Nonprofit organization Empower Oversight is urging Congress to release an SEC inspector general report on former chairman Jay Clayton's actions. The group discovered evidence suggesting that William Hinman, former director of the SEC's Division of Corporation Finance, may have breached ethics rules regarding conflicts of interest. The report, expected to be released soon, could support an investigation into Hinman's actions before Clayton is confirmed as U.S. Attorney for the Southern District of New York. The controversy stems from Hinman's 2018 speech declaring Ethereum's digital token, Ether, as not a security, which raised questions about potential law violations. The issue ties into a lawsuit filed against Ripple Labs and its executives by the SEC, where Hinman's actions are also being called into question. SEC commissioner Joseph Grundfest has criticized the SEC's actions against Ripple, arguing that Ether and XRP should be treated similarly under securities laws.