XRP News Today: SEC’s Record Fines Spark Controversy as BTC Dips to $90k

SEC Chair Gensler Highlights Record Enforcement Actions Amid Crypto Controversy

The US Securities and Exchange Commission released its fiscal year 2024 enforcement action report on Tuesday, November 26. Significantly, the SEC filed 583 enforcement actions, securing $8.2 billion in financial remedies, the highest in SEC history.

Crypto was a common theme in the 2024 report, with the SEC showcasing its victory in the Terraform Labs case, which contributed over $4.5 billion in disgorgement, prejudgment interest, and civil penalties – accounting for around 56% of the total financial remedies.

Notably, the SEC did not refer to the Ripple case and the $125 million in civil penalties.

Ripple Chief Legal Officer Stuart Alderoty remarked on the SEC’s publication, stating,

“The SEC bragging about record fines collected is like a professor boasting about their highest-ever class failure rate and the most cheating scandals. It’s not a measure of success—it’s an indictment of oversight gone terribly wrong, driven by perverse incentives.”

Importantly, the SEC report underscored Chair Gensler’s reign of regulation through enforcement that impacted the broader crypto market. The fiscal 2025 numbers could be significantly lower as the incoming Trump administration considers an SEC overhaul.

Trump Administration Considers the CFTC to Lead Crypto Regulation

On Tuesday, FOX Business journalist Eleanor Terrett reported the Trump administration eying the Commodities Futures Trading Commission for a leading role in digital asset regulation.

Former CFTC Chairman and potentially Trump’s crypto Czar Chris Giancarlo commented on the CFTC overseeing the US digital asset space, stating,

“With adequate funding and under the right leadership, I think the CFTC could hit the ground running to begin regulating digital commodities on day one of Donald Trump’s presidency.”

The plan to give the CFTC greater oversight over digital assets is not new. Senators Cynthia Lummis and Kirsten Gillibrand introduced the Responsible Financial Innovation Act in June 2022. The bipartisan crypto bill aimed to deliver a comprehensive regulatory framework for the US digital asset space and clearly define regulatory responsibilities between the CFTC and the SEC.

Greater CFTC oversight, regulatory clarity, and an end to the SEC’s reign of regulation through enforcement would be a boon for the US crypto market.

Former SEC Commissioner Paul Atkins is reportedly leading to become the next SEC Chair. Eleanor Terrett shared an update on the race for SEC Chair, stating,

“Atkins is seen as being capable of establishing a pro-innovation agenda while returning the agency to the so-called “gold standard” many in the Republican Party feel was lost under outgoing chair Gary Gensler.”

XRP Price Action

On Tuesday, November 26, XRP declined by 1.17%, following Monday’s 1.26% loss, closing at $1.3988. XRP tracked the broader crypto market, which fell by 1.35%, taking the total crypto market cap to $3.110 trillion.

Looking ahead, Trump’s nominations the SEC Chair is crucial. A pro-crypto SEC Chair, supporting an end to ongoing SEC cases against crypto firms, could push XRP toward the May 2021 high of $1.8171. However, XRP must move through the November 23, 2024, high of $1.6299.

Conversely, SEC plans to pursue the Ripple appeal after Trump’s inauguration could drag XRP toward $1.

BTC Avoids Sub-$90,000 as Profit-Taking Impacts Demand

On Tuesday, BTC continued to retreat. There were no catalysts to send BTC to $90k. Investors awaited Trump formally nominating the federal agency heads and the administration’s crypto czar.

US BTC-Spot ETFs Face Second Day of Net Outflows

Profit-taking impacted the US BTC-spot ETF market, which reported net outflows of $435.3 million on Monday, November 25. The US BTC-spot ETF market could see a second day of net outflows on Tuesday. According to Farside Investors:

• Fidelity Wise Origin Bitcoin Fund (FBTC) had net outflows of $95.7 million.
• Grayscale Bitcoin Trusts (GBTC) reported net outflows of $36.1 million.

Excluding flow data for iShares Bitcoin Trust (IBIT), net outflows totaled $122.8 million.

Despite the current downturn, optimism surrounds the potential for a pro-crypto SEC Chair to catalyze the US crypto-spot ETF market. Notably, Bitwise Invest and Hashdex filed new ETF proposals on Tuesday, reflecting growing anticipation of regulatory changes.

ETF Store President Nate Geraci remarked on the ETF industry on Tuesday, saying,

“Yup. Will be a boatload of crypto-related ETF filings as issuers test limits.”

The latest filings highlighted the likely influx of crypto-spot ETF products targeting investors looking for multi-crypto exposure.

Bitcoin (BTC) Price Prediction

On Tuesday, BTC declined by 1%, following a 5.16% slide on Monday, closing at $91,914. BTC dropped to $90,707 before steadying.

BTC price trends will likely hinge on updates from Trump’s transition team and BTC-spot ETF market flows. Pro-crypto leadership nominations for the SEC and CFTC roles could boost BTC demand. US BTC-spot ETF flows will also affect the supply-demand balance and BTC price trends.

Follow the latest on regulatory changes and their game-changing impact on crypto markets.