Is the SEC Hiding Evidence that Hinman Colluded to Boost Ether?
If it weren’t for the lawsuit the SEC filed against Ripple, we might not have ever glimpsed how crooked William Hinman turned out to be as Director of Corporation Finance. A federal judge has ordered the SEC several times to produce the documents and external communications around Hinman’s June 14, 2018 speech where he declared that ether is not a security.
The SEC is desperately fighting not to produce them, because everyone knows that if they fully comply with the order, their case will fall apart.
It’s a happy coincidence for Hinman that the seeds of the SEC’s defeat are in those documents and they are fighting tooth-and-nail to conceal them. It’s because if all the emails, meeting records and staff notes are made public, they will also revealwith whom Hinman consulted - and colluded - to draft, edit and finalize that 2018 speech, after which the price of Ether has increased by a face-melting 600% to date.
From all indications seen in the redacted Hinman deposition and the filings around the fight to conceal it, the evidence that the SEC is hiding will reveal the following:
• Proof that Hinman consulted with top leaders of the Ethereum Foundation and private market participants heavily invested in ether before the speech.
• All the entities and individuals, inside and outside the SEC, who knew about and/or participated in editing the speech, including market participants with substantial investments or financial interests in ether. Court filings indicate at least 63 SEC emails where versions of the speech were attached.
• More clues on how material non-public information about the contents of the speech apparently made its way to Coinbase, as they listed Ethereum Classic on their exchange three days before Hinman made the speech.
• A more complete list of Hinman’s clients at Simpson Thacher, including those who directly profited from the impact of Hinman’s speech.
All of this will help us connect the dots with what we’ve already documented.
Since 2017, Simpson Thacher has been a member of the Enterprise Ethereum Alliance, a community of businesses and organizations pushing for the widespread adoption of ether.Hinman joined the SEC in 2017.
Simpson Thacher paid Hinman millions of dollars all throughout his service at the SEC, and that Simpson Thacher’s China office is managed by a Chinese Communist Party member who steers enormous contracts to the firm from CCP-managed tech companies.
Hinman and Jay Clayton brought Alibaba public in 2014, making enormous sums of money in the process. It cemented their relationship, made them and their law partners incredibly rich. The CCP’s key asset embedded in Simpson Thacher’ssenior management, Celia Lam, has steered multi-billion dollar deals to the firm as it issued millions in annual payments to Hinman at the SEC, including the $14 billion equity financing of Alipay the same year as Hinman’s speech.
Nothing on Wall Street happens by chance, and no one gets their name on the biggest IPO in history without promising a few favors, especially when it is for a Chinese Communist Party-controlled tech giant.
Clayton and Hinman’s tenure at the SEC coincided with crypto’s emergence into mainstream finance. The two were smart enough to realize that they could take advantage of that to leverage public ignorance and the absence of regulatory frameworks to pick winners and losers.
And we already know, from all the evidence already public, that is exactly what they did
The evidence being concealed by the SEC cannot be legally destroyed, as they are federal government documents subject to records retention laws. We knew all along they existed. The Ripple lawsuit simply helped us know more about them.
We intend to use every means at our disposal to get them, and publish them here.