Ripple urges SEC with a 3-step plan for clear cryptocurrency regulations

Ripple has called on the U.S. Securities and Exchange Commission (SEC) to establish more transparent regulations for the cryptocurrency market. This move comes after Hester Peirce, head of the SEC's Cryptocurrency Task Force, requested public input on how to classify cryptocurrency assets.

Ripple has proposed three solutions to enhance the clarity of cryptocurrency regulations:

Ripple emphasizes that the SEC should only regulate those assets that qualify as securities under federal law. The company argues that many digital assets should not be classified as securities, especially those that do not generate profits.

Ripple urges the SEC to adhere to existing laws rather than introducing new regulations, which could only cause further confusion.

Ripple calls for the SEC to adopt a more transparent approach along with specific guidelines to shape industry regulation. This would benefit the market and protect investors.

The legal battle between Ripple and the SEC is also nearing its conclusion as the SEC has decided to withdraw its appeal, paving the way for a potential settlement between the two parties.