SEC Subpoenas Arrington XRP Capital, Discouraging Michael Arrington from US Dealing
In a post on Twitter, Michael Arrington brought attention to a recent subpoena that his company, Arrington XRP Capital received. The post said,
“We received a second subpoena from the SEC, again collecting information from us as investors in a U.S. company. The legal costs of dealing with these are not insignificant. We will not invest in any further U.S. deals until the SEC clarifies token rules. Pivot to Asia.”
The first of the two subpoenas was issued in March. At the tie, Michael took to CNBC to said that the SEC had subpoenaed every other hedge fund that he had checked with, and he claimed that the SEC was on this hunt to “figure out” what they want. The cryptocurrency market has not been resisting regulation at all; it craves it to the point of practically “begging” the SEC to make a decision on the final rules. Upon discussing the matter further, Michael said that the US has been “left behind.”
Michael, who also founded TechCrunch, believes that these actions from the SEC have forced multiple platforms to make the decision – stay or go. However, many of the cryptocurrencies are opting to go, with Michael Arrington claiming that “the US has just frozen itself.”
We received a second subpeona from the SEC, again collecting information from us as investors in a U.S. company. The legal costs of dealing with these are not insignificant. We will not invest in any further U.S. deals until the SEC clarifies token rules. Pivot to Asia.
— Michael Arrington (@arrington) September 28, 2018
While participating in interviews lately, the topic of the SEC continues to come up, as he says that he prefers to avoid SEC regulation. However, if a regulation is made, the SEC needs to pick up the pace.
Many experts and enthusiasts have something to say about these requirements, though many of them are positioned against the SEC’s decisions. RJ Remien, who is a veteran of Silicon Valley, said,
“Unreal. The problem with tech in the U.S. was explaining it to people that run companies. Now that it involves money a whole new training program ensues. If they really want to enforce violations, then remove the OTC market. More fraud than crypto.”
Just two hours after his post about the SEC, he reposted an article from AMB Crypto where he spoke about the current regulation in the crypto space. When it comes down to what Michael Arrington truly wants, he was clear:
“What I’d really like to see is no regulation. But if we’re gonna have regulation we need to have it right and the SEC needs to make their move, they’re moving super slow. What I’d rather do is make rules, they can change them over time, at least so we know what the rules are. That’s my biggest concern.”