The Ripple Effect: Stewart’s SEC Exit and Its Impact on Crypto Regulation

The post The Ripple Effect: Stewart’s SEC Exit and Its Impact on Crypto Regulation appeared first on Coinpedia Fintech News

Though it’s not shocking news that lawyers are switching SEC sides, a few weeks ago, Coinpedia reported how lawyers secretly sent their resumes to many law firms in the US. Soon after this, Alderoty remarked on whether SEC lawyers would disclose Gensler before any exodus, has raised concerns about SEC internal issues. Concerns are rising about the agency’s direction under Gensler’s leadership. 

Experts Took A Jab at Ladan’s Departure

In the latest development, Ladan Stewart, a prominent figure in the Securities and Exchange Commission’s (SEC) crypto unit, has left the agency to join White & Case, a law firm known for its pro-crypto stance. This development has caused a stir within the crypto community, prompting speculation about its potential implications.

The well-known crypto experts and influencers, CryptoLaw and MartyParty, have taken a jab at Stewart’s departure from the SEC and her transition to a private law firm that supports cryptocurrency. Both tweets express surprise and suggest that Stewart’s move could signal a significant shift in the legal landscape surrounding crypto regulation.

Is SEC Sinking in its Mess? Coinbase vs SEC at Stake now? 

Well with the key lawyer’s departure, the world awaits if this is SEC’s doom period. Stewart’s role at the SEC was indeed crucial, she was leading high-profile cases such as the lawsuit against Coinbase for allegedly operating as an unregistered securities exchange. She was also involved in the legal battle with Ripple over classifying its XRP token as a security, a case that has drawn widespread attention within the crypto industry.

Her decision to join White & Case, a firm with a robust white-collar defense group, indicates her intention to continue working in the crypto and cyber defense space. Stewart emphasized that “crypto is here to stay,” citing the growing popularity of Bitcoin exchange-traded funds and the enduring legal questions surrounding cryptocurrency.

Her Role is Appreciated Globally

White & Case’s hiring of Stewart underscores the increasing importance of legal expertise in navigating the complex regulatory mess of the crypto industry. With regulatory scrutiny on the rise, her experience at the SEC will be a valuable asset for the firm as it seeks to provide comprehensive legal services to its clients.

In addition to Stewart, White & Case welcomed John Cahill, a seasoned corporate real estate lawyer, further bolstering its legal team. These hires reflect the firm’s commitment to expanding its capabilities in key practice areas, including crypto and corporate law.

Overall, Stewart’s departure from the SEC and her move to White & Case marks a significant development in the evolving relationship between regulators and the crypto industry. It remains to be seen how her transition will impact future regulatory decisions and legal proceedings related to cryptocurrency.