Ripple's Legal Chief Comments On SEC's Stance On Meme Tokens

According to Foresight News, Ripple's Chief Legal Officer, Stuart Alderoty, has commented on the U.S. Securities and Exchange Commission's (SEC) statement regarding meme tokens not being classified as securities. Alderoty highlighted the clarity of the SEC's position, emphasizing that the primary concern for the SEC is whether something falls under its jurisdiction, rather than its legality. He noted that in cases of fraud, other agencies could intervene. Alderoty explained that the guidelines adhere to legal standards and precedents, avoiding ambiguous concepts like decentralization. He stated that meme tokens are not considered securities because they do not grant rights to income, profits, or assets. Their value is driven by market sentiment rather than the efforts of a management team. Without investment in a common enterprise, there is no investment contract, simplifying the classification process.