TL;DR

• False reports claimed the SEC approved BlackRock’s BTC ETF, but the SEC cautioned against unverified sources.
• US attorney John E. Deaton criticized the SEC, referencing court opinions that have deemed the agency’s actions inconsistent.
• The SEC has had multiple legal confrontations with crypto entities, including losses to Ripple and Grayscale and lawsuits against Binance and Coinbase.

The SEC is ‘Arbitrary and Capricious’

The breaking reports from yesterday (October 16), which indicated that the US Securities and Exchange Commission (SEC) has said “yes” to BlackRock’s application to launch a spot BTC ETF in America, triggered a price rally for the primary cryptocurrency and overall excitement in the entire sector. 

However, the jolly was short-lived, with the news turning out to be fake. The regulator chipped in, warning X (Twitter) users to only believe in verified sources and not everything they read on the Internet.

John E. Deaton – a US attorney representing thousands of XRP investors in the lawsuit against the SEC – disagreed with the aforementioned statement, saying people should trust independent judges who oversee the watchdog, not the agency itself.

He claimed that an Appellate Court found the SEC to be “arbitrary and capricious.” According to him, the magistrates have also unanimously concluded that t