Key facts
- Companies support codifying the SEC's digital commodity framework.
- The proposed rules aim to create new fundraising exemptions for crypto issuers.
- Ripple has spent over $150 million seeking clarity on XRP not being a security.
Ripple, Cardano, Chainlink, Hedera, Stellar, Aptos and Avalanche have submitted comments supporting the SEC's proposed Regulation Crypto Assets framework. Ripple's Chief Legal Officer Stuart Alderoty stated that the company supports the proposal and that the SEC has clear authority to adopt it. He argued that previous "case by case, coin by coin" enforcement has pushed crypto innovation offshore and that the industry needs holistic rules for digital assets. Alderoty clarified that the investment contract is a security, not the token itself, and cited Ripple's $150 million expenditure to gain clarity on XRP not being a security. Chainlink, partnering with Cardano, Hedera, Stellar, Aptos, and Avalanche, also urged the SEC to codify its digital commodity framework, with Chainlink's head of policy Taylor Barr stating that builders need lasting certainty. The Blockchain Association also advocated for raising the startup exemption limit from $5 million to $10 million. Although the official comment period closed on October 20, the SEC will continue accepting public feedback.