Ripple CEO brad Garlinghouse (Brad Garlinghause) said that the depreciation of the leading cryptocurrency is associated with the statement of the American Commission on securities and exchange Commission (SEC).

On 7 March, the SEC issued a “Statement on potentially illegal online platforms for trading digital assets.” According to the document, cryptocurrency exchanges and trading platforms digital assets must register if they trade the tokens constituting the SEC as securities.

“If the platform provides digital assets that are securities, and conducts exchange activities, according to the Federal legislation on securities, it must register with the SEC as a national securities exchange or be exempted from registration,” the statement said.

The document notes that many online trading platforms are perceived by investors as registered with the Commission regulated marketplaces, which actually they are not.

“Many platforms define their activity as “exchanges” that may give investors the wrong notion that they are the object of regulation or support the standards of the regulators of national securities exchanges”, — say representatives of the SEC.

Note, back in February during the Senate hearings the Chairman of the Commission, Jay Clayton (Jay Clayton) stated that there is a significant difference between the token-ICO and the so-called “true cryptocurrencies”, as the token-ICO considered securities.

Commenting on the market reaction to the statement by the SEC, the CEO of Ripple brad Garlinghouse noted that cryptocurrency exchanges can simply be deleted from the listing. ICO tokens or register, and therefore regulation of the SEC do not have a significant negative impact on cryptocurrency trading platform.

“From my point of view, the market showed excessive reaction to the statement by the SEC. In the end, exchanges have three options: remove from the list of ICO, to register or to close. Of course, serious consequences for Ethereum, given the tokens ERC20,” said Arlinghaus.

Note, given that the majority of American cryptocurrency exchanges are already regulated, being registered in agencies at the Federal level and in the agencies of individual States, it is unlikely that the statement of the SEC itself can have a serious impact on the market.

According to experts, the recent market correction, during which the rate of bitcoin fell below $8500, and market capitalization dropped from $470 to $355 billion, was caused by several factors, among which the sale of a large number of bitcoin Manager of Mt.Gox, the statement by the SEC, information about the possible hacking of the exchange Binance and sanctions of the Japanese authorities against the local trading platforms.

As noted Arlinghaus, the decision of the SEC mainly affects the tokens issued on the Ethereum standard ERC20, which is recognized by the Commission as securities.

We will remind, earlier this week, brad Garlinghouse said that cryptologist should cooperate with the authorities.