Crypto Powerhouse Consensys Sues SEC Amid Fresh Ethereum Bias Claims

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Over a weekend as unpredictable as cryptocurrency itself, fresh conjecture surrounding the so-called ETH Gate theories re-entered the spotlight, spurred by news that Consensys had taken legal action against the US Securities and Exchange Commission (SEC). This enigmatic dialogue rapidly intensified against a backdrop of an intellectual sparring between Ripple CTO David Schwartz and Cardano Founder Charles Hoskinson on a topic of vital importance to the crypto realm.

This recent crevice of controversy reopens the age-old question — is there a preferential bias towards Ethereum?

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Crypto powerhouse Consensys thrust this debate back into the limelight this Thursday, striking the SEC with a lawsuit alleging the regulator had overstepped its bounds with unwarranted authority over Ethereum. This news acted as a spark to the dry tinder of online crypto watchers, igniting a conversation around the SEC’s apparent partiality towards the world’s second largest cryptocurrency when measured by market capitalization.

Voices in the cryptoverse started to call out the perceived inconsistency of trading platforms, suggesting a distinctly ‘double standard.’ Critics point to high-profile exchanges like Binance, Coinbase, Crypto.com, and Bitstamp, observing their decision to delist XRP in the aftermath of SEC’s intensive scrutiny of Ripple.

As the debate intensified, some crypto community members proposed that ETH should also face delisting. A notable sentiment came from a user who stated boldly that if this did not happen, “#ETHGate is real,” lending a credence to the possibility of a bias.

The allegations of the SEC unfairly targeting Ripple and XRP, seemingly playing favoritism with Ethereum, have been a recurring saga that casts a menacing shadow over the regulatory body’s perceived lack of consistency.

Last year, renowned attorney and crypto savant Jeremy Hogan offered some insight into the situation, critically dissecting the publication of Hinman’s past emails and drafts from his 2018 speech. He speculated that the former SEC’s Division of Corporation Finance director might have received payment from a party with ties to the Ethereum Foundation, ultimately leading to a favorable nod to ETH.

Still, the winds of discord blew harder when Cardano’s founder, Charles Hoskinson, took a stance. During a recent X Space meeting, he stated that an apology from the XRP army, as well as Ripple executives, was required before project collaboration could be considered. Arguing that the XRP’s community has relentlessly attacked him daily since the start of 2022, he found himself engaged in a fierce backlash from XRP community members.

The prolonged debate escalated when Hoskinson was challenged by Ripple’s CTO, David Schwartz. Schwartz queried the validity of Hoskinson’s statements, trying amidst the climax of the discussion to better understand the rationale behind his evidence, or lack thereof. This ended with Schwartz pressing Hoskinson about his allegations and indicating Hinman’s interests as a possible prejudicial factor in the legal action against Ripple.

As the crypto world continues to ricochet with the impact of this grand lawsuit, Ripple and XRP have not escaped unscathed. With XRP currently trading at $0.50, its fate, along with the future of the digital currency landscape, teeters on the precipice of the unknown.