Crypto Influencer Accuses Former SEC Division Director Of Taking Bribe To Declare Ethereum A Commodity

Amid a prolonged legal dispute between the Securities and Exchange Commission (SEC) and blockchain company Ripple over the unauthorized sale of XRP (CRYPTO: XRP) coins, crypto influencer Ben Armstrong has accused the former SEC Director of the Division of Corporation Finance William Hinman of allegedly receiving a bribe to designate Ethereum (CRYPTO: ETH) a commodity.

Armstrong, who goes by the pseudonym "BitBoy Crypto" on his YouTube channel, said, “William Hinman certainly accepted bribes. It’s clear.” However, Armstrong said he also refuses to choose among cryptos, adding that his “three biggest holdings are XRP, ADA, & ETH, and I refuse to take sides. They all win.”

When asked for comment on allegations made by the YouTube influencer, Hinman said he is unable to comment due to the ongoing SEC litigation.

Lack of regulations in the crypto space

Armstrong cited the remarks made by Cardano (CRYPTO: ADA) creator Charles Hoskinson in support of his claims.

Hoskinson had already addressed this issue in a series of tweets.

He said, among other things, that Ripple should concentrate on advocating for more regulatory clarity rather than alleging that the SEC was bought off to ignore Ethereum.

“Analyzing the allegations of corruption seems to imply that Ethereum should also be sued by the SEC, but wasn’t because of relationships. But how does this in any way solve the larger issue of cryptocurrencies being forced into a framework that makes no sense?” Hoskinson asked.

Also read: Building Trust In The Crypto Ecosystem And Gazing Into The Future

Hinman's comments on ETH obfuscated by the SEC

The regulator's effort to conceal the records pertaining to Hinman was rejected by a federal judge in the SEC v. Ripple lawsuit.

These records pertain to his 2018 summit address, in which he stated that Ethereum and Bitcoin (CRYPTO: BTC) were not securities.

Meanwhile, Armstrong is busy with a defamation lawsuit that he filed against crypto YouTuber Erling Mengshoel, a.k.a. Atozy, whom Armstrong accused of slander over in a video released on November 9, 2021, calling Armstrong a "shady dirtbag who milks his audience for a quick buck rather than giving them genuine advice."

Benzinga has reached out to Hinman for a comment on the allegations.

Photo: Courtesy of commons.wikimedia.org