On November 26, the SEC released its 2024 enforcement action report, showing unprecedented financial penalties of $8.2 billion. A total of 583 enforcement actions were taken, with Terraform Labs’ case contributing $4.5 billion to these penalties.
As highlighted in the SEC report, the Terraform Labs case generated approximately 56% of all financial remedies. The report’s omission of Ripple’s $125 million penalties raised questions within the crypto community.
Ripple’s Chief Legal Officer, Stuart Alderoty, criticized the SEC, calling its record fines a sign of systemic failure. The SEC’s report emphasised Chair Gensler’s enforcement approach, which heavily impacted crypto markets.
It was suggested that fiscal year 2025 enforcement numbers could decrease if the Trump administration initiates SEC reforms.
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XRP and Bitcoin: CFTC May Lead Crypto Oversight
Eleanor Terrett reported that the Trump administration might favour the CFTC to regulate digital assets. Chris Giancarlo, former CFTC Chairman, stated that the agency could begin regulating crypto assets with adequate leadership and resources.
The Responsible Financial Innovation Act, introduced in June 2022, aimed to define the CFTC and SEC’s roles in crypto regulation.
Greater CFTC oversight could lead to regulatory clarity and end SEC enforcement-driven regulation, benefiting the crypto market.
Paul Atkins, former SEC Commissioner, emerged as a frontrunner to replace Gary Gensler as SEC Chair.
Atkins was described as capable of promoting innovation and restoring the SEC’s previous reputation as a “gold standard” agency.
XRP Price Analysis: Movement Reflects Broader Market Declines
On November 26, XRP’s price fell by 1.17%, following a 1.26% loss from the previous day.
The total cryptocurrency market cap decreased by 1.35%, reflecting broader declines across digital assets. XRP’s path toward its 2021 high of $1.8171 depends on SEC leadership changes. However, plans to pursue the Ripple appeal could lower XRP’s price to $1.
Bitcoin Performance: Sub-$90K Levels Avoided Amid ETF Outflows
Despite profit-taking, Bitcoin’s price stabilized above $90,000, causing net outflows from BTC-spot ETFs. On November 25, U.S. BTC-spot ETFs saw $435.3 million in net outflows, reflecting reduced investor demand.
Prominent ETFs, including Fidelity’s Wise Origin and Grayscale’s Bitcoin Trust, experienced significant fund withdrawals. Optimism remains that a pro-crypto SEC Chair could revive U.S. crypto markets and BTC-spot ETF demand.
New ETF filings by Bitwise and Hashdex on November 26 signalled continued interest in diversified crypto products.
XRP and Bitcoin: Regulatory and Market Changes Anticipated
Future price trends for XRP and BTC will depend heavily on regulatory decisions under the Trump administration. Updates on federal agency leadership and ETF market flows are expected to drive cryptocurrency market sentiment.
