Thousands of internal SEC communications made public by Coinbase have revealed new insights into how U.S. regulators debated classifying major cryptocurrencies, including XRP and ETH. The documents, obtained through Freedom of Information Act (FOIA) requests, show that the SEC’s internal discussions raised concerns about XRP’s dependency on Ripple, while also confirming that New York’s Attorney General actively pushed for the SEC to support its position that Ether should be treated as a security. BREAKING: COINBASE DISCLOSES SEC EMAIL’S REGARDING $XRP & A REQUEST FROM NEW YORK OFFICIALS TO BACK THE CLASSIFICATION OF $ETH ! The SEC also emailed internally about whether $XRP had the characteristics of a security in 2021, according to the FOIA documents released on… pic.twitter.com/8AI7vCuYjQ — Good Morning Crypto (@AbsGMCrypto) May 7, 2025 New York Sought Federal Backing Against ETH In a June 2023 email, Shamiso Maswoswe, who heads the Investor Protection Bureau under the New York Attorney General’s office, directly contacted the SEC. She asked that the agency submit a legal brief supporting the argument that ETH meets the definition of a security . This request was made in connection with New York’s lawsuit against crypto exchange KuCoin, which the state accused of violating securities and commodities laws. Maswoswe said investor protection could improve if Ether were deemed a security. Though ETH’s status wouldn’t affect the case’s outcome, she noted that a favorable ruling could set legal precedent and support the broader classification of crypto assets under securities laws. SEC’s Conversations on XRP and Ripple’s Role The Coinbase document release also exposes that the SEC staff has been evaluating XRP’s legal status since 2021. One internal email raised the issue of whether the XRP Ledger (XRPL) could be impacted if Ripple were no longer involved. This question is central to how the SEC determines whether a digital asset qualifies as a security. The more an asset’s success depends on the performance or promises of a centralized entity, the more likely it is to fall under the SEC’s regulatory scope. We are on twitter, follow us to connect with us :- @TimesTabloid1 — TimesTabloid (@TimesTabloid1) July 15, 2023 SEC’s Approach to Ethereum Under Gary Gensler, the SEC avoided declaring ETH’s status, never publicly stating his opinion on the asset despite probing Ethereum 2.0. The enforcement division launched, then dropped, an investigation into its sales. At the same time, Consensys filed a legal challenge against the SEC, accusing it of overstepping its authority by trying to regulate ETH as a security. Regulatory Climate Shift Under New Leadership With new leadership steering the SEC, the agency’s stance on crypto appears less aggressive than it was under Gensler. Several high-profile enforcement actions have been rolled back, including the cases against Ripple and Coinbase. This signals a potential softening in the regulatory approach, and many believe the end of the SEC’s lawsuit has cemented XRP’s status. However, questions about ETH and other digital assets remain unresolved. Disclaimer : This content is meant to inform and should not be considered financial advice. The views expressed in this article may include the author’s personal opinions and do not represent Times Tabloid’s opinion. Readers are urged to do in-depth research before making any investment decisions. Any action taken by the reader is strictly at their own risk. Times Tabloid is not responsible for any financial losses. Follow us on X , Facebook , Telegram , and Google News The post Coinbase Exposes Internal SEC Conversation About XRP and Ethereum Security Status appeared first on Times Tabloid .
