XRP News: Ripple CLO Slams Fed for Crypto Bias, Exposes Bank Money Laundering

Amid rising concerns about money laundering in cryptocurrency and exchanges, Ripple’s Chief Legal Officer (CLO), Stuart Alderoty, is speaking out! In a passionate post on X, Alderoty criticized the U.S. Federal Reserve and the SEC for what he sees as unfair treatment of the crypto industry. He noted that traditional financial institutions, including the New York Fed, have also been involved in facilitating illicit transfers.

Alderoty argues that the real issue of money laundering is deeply rooted in the traditional financial system and that crypto should not be unfairly blamed.

Crypto Is Not the Main Culprit, Says Alderoty!

Alderoty’s comments came in response to a Wall Street Journal report that the New York Fed had allowed hundreds of millions of dollars to be transferred to terrorist groups in Iran due to inadequate money laundering safeguards. He refuted claims that crypto is primarily responsible for such illegal activities, pointing to the flaws in traditional banking systems.

Support from Pro-XRP Figures

John Deaton, a GOP Senate candidate and pro-XRP lawyer, backed Alderoty’s stance, noting that Bitcoin and crypto are far less involved in illicit transactions than major banks. He cited top institutions like HSBC, JPMorgan, and Wells Fargo as key offenders in global money laundering activities, with the United Nations estimating between $800 billion and $2 trillion laundered annually through traditional channels.

Ripple CEO Brad Garlinghouse also weighed in, criticizing the U.S. government’s negative stance toward crypto. He noted that the Biden administration’s regulatory approach, spearheaded by the SEC, has hurt the crypto industry while other countries have adopted more balanced regulations.

XRP Market Analysis

Despite these tensions, XRP’s price saw a 3% rise in the past 24 hours, trading at $0.539. The surge in trading volume indicated increased interest from traders, but analysts warn that this price jump might not be sustained. XRP faces resistance from a descending trendline and a horizontal level at $0.55.

If XRP breaks through these barriers and closes a daily candle above $0.56, it could rally by 15% to reach $0.65. Currently, XRP is trading at $0.538, marking a 2.5% increase over the last 24 hours. Trading volume surged by 65%, reflecting heightened interest from crypto enthusiasts as the market recovers. 

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Are the Fed’s allegations justified? What do you think?