In a recent turn of events, Cardano creator Charles Hoskinson expressed his frustration with the SEC and its seemingly disparate treatment of Bitcoin compared to other cryptocurrencies, specifically targeting Cardano (ADA).
Hoskinson questioned the rationale behind Bitcoin receiving preferential treatment, while other projects, including Cardano, faced regulatory scrutiny.
Hoskinson’s outspoken critique drew ire from Bitcoin enthusiasts, often referred to as maximalists in the crypto community. The heated exchange prompted a defense from an unexpected ally – John Deaton, a prominent pro-XRP activist and crypto lawyer.
Deaton, known for his vocal stance on XRP-related matters, stepped forward to support Hoskinson’s concerns about regulatory inconsistencies.
The lawyer argued that the frustration expressed by Hoskinson was not limited to maximalists and should be objectively understood by anyone observing the crypto regulatory landscape. He emphasized the need for coherent and consistently applied U.S. securities laws across all ecosystems, challenging the selective approach taken by the SEC.
Innovation and compliance
This is not the first time Deaton has spoken out against regulatory overreach. Back in April 2023, he contested the notion that the initial distribution of tokens, whether through ICOs or other means, should automatically classify them as securities.
Drawing parallels to Ethereum‘s ICO and Ripple‘s sale of XRP, Deaton asserted that the focus should be on the nature of the tokens themselves rather than their initial distribution methods.
As the debate on regulatory clarity within the crypto space intensifies, the tension between crypto creators and regulatory authorities continues to unfold, leaving the industry grappling with the fundamental question of how to strike a balance between innovation and compliance.
