Prominent figures in the cryptocurrency community, including legal expert John Deaton, have shed light on former SEC Chairman Jay Clayton‘s role in the approval process of a Bitcoin spot exchange-traded fund (ETF).
Clayton, who served as the head of the SEC during the Trump administration, has faced criticism for obstructing the path to a Bitcoin spot ETF while now expressing support for its eventual approval.
Jay Clayton’s initial opposition
Perianne Boring, the founder of Digital Chamber and a proponent of Bitcoin, highlighted Jay Clayton’s initial stance against a Bitcoin spot ETF during his tenure as SEC Chairman. This revelation has come to light as Clayton recently acknowledged the inevitability of such an ETF gaining approval in the United States.
In a recent interview, Clayton stated that while approval is likely, the timing remains uncertain, possibly hinting at developments in early January.
John Deaton’s Perspective
Renowned lawyer John Deaton, known for his pro-XRP stance, weighed in on the matter, asserting that Jay Clayton played a significant role in the delay and obstacles faced by the Bitcoin spot ETF.
Deaton argued that without Clayton’s actions during his time at the SEC, the current SEC Chairman, Gary Gensler, would not have the ability to arbitrarily deny approval for a Bitcoin spot ETF.
Deaton further highlighted a pivotal meeting between Clayton and Gensler on the eve of the 2020 Ripple/XRP case filing. He speculated that XRP might have been discussed during this meeting, as the SEC leadership had later alleged that all XRP tokens constituted illegal securities.
In addition to the XRP-related concerns, Deaton pointed to Clayton’s refusal to implement the Safe Harbor proposal put forth by SEC Commissioner Hester Peirce. According to Deaton, Clayton deliberately maintained regulatory ambiguity around Bitcoin and cryptocurrencies during his tenure.
Clayton’s post-SEC involvement
Furthermore, John Deaton raised questions about Jay Clayton’s subsequent involvement in advising entities such as OneRiver on matters related to Bitcoin, Ethereum, and crypto policy after leaving the SEC. Deaton suggested that Clayton’s actions could be perceived as a lucrative business model for himself and his associates.
In the cryptocurrency community, these revelations have led to increased scrutiny of Clayton’s tenure at the SEC and his actions both during and after his time in office. Critics argue that Clayton’s earlier resistance to a Bitcoin spot ETF, refusal to adopt regulatory proposals, and subsequent involvement in advising crypto-related entities raise concerns about potential conflicts of interest.
Clayton’s recent statements
It is noteworthy that Clayton’s recent change of stance on the approval of a Bitcoin spot ETF has sparked discussions in the crypto industry. While he has now expressed a belief in the eventual approval of such an ETF, the timing remains uncertain, leaving investors and enthusiasts eagerly awaiting regulatory clarity.
Source: https://www.cryptopolitan.com/ex-sec-chairman-role-in-spot-etf-approval/