The US Senate made a big move, canceling a controversial rule suggested by the Securities and Exchange Commission (SEC). This rule could have caused big problems for crypto custody in banks. Stuart Alderoty, Ripple's Chief Legal Officer, praised this decision, calling it a win against what he sees as SEC Chair Gary Gensler's overstepping.

The rule, called SAB 121, would have forced banks to show their customers' crypto holdings on their financial reports. Many criticized this, saying it would complicate custody services and mess up banks' financial records because crypto values change a lot. Leaders like Michael Saylor from MicroStrategy supported the Senate's move, saying it's important to protect crypto owners' rights.

SEC Commissioner Hester Peirce, known as "Crypto Mom" for supporting digital assets, also criticized the SEC's inconsistent approach to regulating crypto custody. This echoes what many in the industry think: the SEC is being haphazard with crypto rules, which could hurt innovation.

Both Democrats and Republicans in the Senate agreed on this decision, showing a rare unity on crypto regulation. This matters as the industry wants laws that help, not hurt, crypto. This move is seen as a way to stop too much regulation that could slow down innovation and hurt people's crypto rights. Ripple's Alderoty believes this shows a smarter way to regulate digital money, one that helps it grow.

In conclusion, the Senate's decision to stop the SEC's rule is a win for crypto. It's a sign that lawmakers are starting to understand how to regulate crypto in a way that helps it grow. Ripple and others in the industry hope this sets a good precedent for future laws on digital money.