Elon Musk .vs SEC: Ripple, Ramaswamy, Palihapitiya Criticize SEC for Coercion, Corruption, and Abuse of Power

Elon Musk's battle with the SEC has been criticized by Ripple's legal director, Vivek Ramaswamy, and Chamath Palihapitiya, who accuse the regulatory agency of corruption, coercion, and abuse of power. SEC faces strong backlash over Elon Musk case: Ripple's chief legal officer considers The battle between Elon Musk and the U.S. Securities and Exchange Commission (SEC) has sparked new debates about the agency's enforcement tactics, attracting comments from political and business figures including Ripple's General Counsel Stuart Alderoty, venture capitalist Chamath Palihapitiya, and politician Vivek Ramaswamy. Musk has shared a letter on his social media platform X on Thursday from his lawyer, Alex Spiro, accusing the SEC of conducting a years-long harassment campaign against Musk and his companies. Spiro claimed that the SEC issued a late-night settlement letter within 48 hours, threatening fines or charges, allegedly driven by higher-level directives.

The letter also mentions a new SEC investigation into Neuralink and a subpoena for Spiro on allegations of coercion, demanding clarification as to whether the SEC's actions are influenced by internal or external factors such as the White House. Palihapitiya has considered the broader implications of the SEC's actions, criticizing the agency's use of taxpayer resources. He wrote on X: It's really funny. Why does the SEC think they can continue to waste government resources (i.e. our money) so fruitlessly?!?!? Without proper checks and balances, partisan officials will continue to use legal warfare to create errors and delay those they disagree with. "And if you don't have resources like Elon, you'll run into trouble. I hope people understand this corruption," he warned. Ramaswamy, who was recently appointed alongside Musk to lead the Department of Government Efficiency (DOGE), has accused the SEC of undermining public trust. "Here's the worst part: the SEC often loses lawsuits in federal court because they bend their rules in illegal and unconstitutional ways," Ramaswamy wrote, adding that their actions undermine confidence in the rule of law. Ripple's legal director participated in the discussion and answered Ramaswamy: Ripple has exposed the SEC's unlawful tactics from the beginning. As the court stated in our case: 'The SEC is using its litigation positions to promote its desired objectives, not because of fidelity to the law.' The question is not whether the SEC under Gensler is cheating or not—it is. The question is how do we hold them accountable? Meanwhile, a reform at the SEC is taking place as Gary Gensler prepares to step down as Chairman, signaling a potential shift in the agency's regulatory approach. Gensler, known for his tough stance on cryptocurrencies and financial regulations, will vacate his position in January 2025. His successor, Paul Atkins, is a former SEC commissioner and advocates for more lenient regulations, especially in the cryptocurrency space. The election of President Trump's nomination of Atkins has sparked debate, with industry insiders predicting a more favorable environment for digital assets while critics warn of reduced oversight. The transition process may redefine the priorities of the SEC, while awaiting Senate confirmation of Atkins. DYOR! #Write2Win #Write&Earn $BTC {spot}(BTCUSDT)