Despite Calls for Transparency, the Findings of the SEC's XRP Investigation Remain Unpublished

Despite calls for transparency, the findings remain unpublished. It is unclear whether the SEC will release it, wait until the Ripple case formally concludes

The U.S. Securities and Exchange Commission (SEC) has completed its internal investigation into former Chair Jay Clayton’s handling of cryptocurrency cases, and the findings are now pending review by Chair Gary Gensler, multiple reports confirmed on Monday.

A report by The Block stated that the SEC’s Office of Inspector General (OIG) began an investigation into Clayton’s leadership after concerns were raised about the agency’s approach to crypto cases.

The OIG's probe was announced in August 2022, shortly after reports surfaced of an internal SEC review into Clayton’s leadership. The OIG is mandated to conduct independent audits and investigations within the SEC to promote efficiency and detect any wrongdoing.

Earlier this year, reports emerged that the OIG had completed its investigation and the findings were being prepared for Gensler’s review.

According to a report by The Block on Monday, the SEC’s internal probe has been finished and the report is currently with Gensler for his decision on whether to release it.

It remains unclear if the SEC will release the findings, wait until the Ripple case formally concludes, or keep the findings sealed.

John E. Deaton, a well-known crypto lawyer, called on the media to urge the agency to make the report public.

“Maybe Laura and Unchained, CoinDesk, Cointelegraph, or Eleanor Terrett or other crypto media, can find out if the new SEC supports releasing the report, or if they prefer to keep the report secret like the old SEC,” Deaton wrote on Monday.

Maybe Laura and Unchained, CoinDesk, Cointelegraph, or Eleanor Terrett or other crypto media, can find out if the new SEC supports releasing the report, or if they prefer to keep the report secret like the old SEC. They are all interested in the report.

— John E. Deaton (@JohnEDeaton) March 30, 2024

Making the findings known could highlight Gensler’s shift in approach to digital asset oversight and may improve investor confidence.

Earlier this month, the SEC announced plans to withdraw its appeal against a lower court ruling in the case with Ripple.

The agency is also considering a potential settlement with the crypto firm.