Ripple’s Chief Legal Officer, Stuart Alderoty, humorously criticized Bill Hinman’s promotion at venture capital firm a16z while highlighting Hinman’s controversial actions during his tenure at the SEC, garnering praise from industry experts.
Key Points
- Ripple’s Chief Legal Officer, Stuart Alderoty, criticized Bill Hinman’s promotion to a special advisor role at a16z, highlighting Hinman’s controversial actions at the SEC.
- John Deaton praised Alderoty’s outspokenness and stood by his opinion regarding Hinman.
- Hinman had previously faced criticism, including accusations of lying under oath and concerns about his credibility in major financial initiatives.
- Alderoty and John Reed Stark had called for an investigation into Hinman’s alleged conflicts of interest while serving as a government official.
Ripple’s Chief Legal Officer, Stuart Alderoty, has been praised by renowned crypto attorney John Deaton for his quick humor regarding the promotion of Bill Hinman, former Director of Corporation Finance at the SEC, at venture capital firm Andreessen Horowitz (a16z).
Wait, is it April Fools day? Shouldn’t this read “While a public servant at the SEC, he collected $15 million from his old firm, ignored the law and created even ‘greater confusion’ for the crypto industry" ….
— Stuart Alderoty (@s_alderoty) September 12, 2023
Alderoty Highlights Malpractices by Hinman
On September 12, a Twitter user shared the news of Bill Hinman’s promotion to the special advisor position at a16z.
However, Alderoty took the opportunity to point out Hinman’s questionable practices during his tenure at the SEC, including receiving funds from his previous organization.
Alderoty mockingly stated, “While a public servant at the SEC, he collected $15 million from his old firm, ignored the law, and created even ‘greater confusion’ for the crypto industry.”
John Deaton praised Alderoty for his remarks, emphasizing that he stands by the Ripple legal head’s opinion.
Deaton noted that Alderoty is not a typical in-house boring and safe General Counsel and is not afraid to voice his opinions. However, Deaton declined to comment further on the promotion, stating that his followers are already aware of his stance on the matter.
Hinman’s Controversial Actions
This is not the first time Hinman has faced criticism. In August, Deaton accused him of lying under oath during his testimony.
Deaton argued that the SEC is not obligated to satisfy all of the Howey factors to classify an offer or sale as an investment contract.
Furthermore, Deaton raised concerns about Hinman’s credibility in leading major financial initiatives, citing the Alibaba IPO, which he undertook alongside former SEC chairman Jay Clayton.
Additionally, in early August, Alderoty and John Reed Stark called for an investigation into Hinman due to the alleged “serious conflicts of interest by a government official” reflected in his speech.
Overall, Alderoty’s humorous response to Hinman’s promotion has garnered praise from industry experts, highlighting the ongoing scrutiny and controversy surrounding Hinman’s actions during his time at the SEC.
