The U.S. Securities and Exchange Commission’s (SEC) action against Ripple has attracted the attention of two other parties.
Phillip Goldstein, managing director of the financial advising company Bulldog Investors, and the Investor Choice Advocates Network are the two new parties.
According to a move provided by the digital asset legal website CryptoLaw, both Goldstein and the ICAN, who the exact attorney represents, request the court’s permission to write an amicus brief in the Ripple case.
In the proposed amicus brief, the parties claim that the SEC regulates digital assets using a vague word.
“However, the legislative source for the word “investment contract” provides no evidence that Congress intended this term to include financial transactions unconnected to “any interest or instrument generally referred to as a security.”
In addition, they believe that Congress has not yet decided how to govern digital assets, offering eleven prospective pieces of legislation. Until a compromise is established, the parties assert that the SEC lacks the jurisdiction to regulate digital assets.
they believe that the SEC’s effort to regulate cryptocurrencies exceeds the customary jurisdiction granted to it by Congress.
Jeremy Hogan, a crypto law specialist and Ripple backer, claims that new parties in the case are “attacking the SEC from every aspect.”
A non-profit group has filed an Amicus Brief in opposition to the SEC’s jurisdiction over digital assets, citing, among other precedents, the recent U.S. Supreme Court decision restricting EPA power.