Ripple CEO Brad Garlinghouse has shared his sentiments about a recent ruling that XRP is not a security.
On July 13, Federal District judge Analisa Torresย ruledย that XRP, the native currency of the XRP Ledger (XRP), is not an unregistered security, except when used to raise funds from institutions.
Garlinghouse shed light on the outcome of the XRP ruling, emphasizing the positive impact on Ripple and the crypto industry.
In a July 14 interview on Bloomberg TV, Garlinghouse highlighted the SECโs previous lawsuits against himself, Ripple co-founder Chris Larson, and the company.ย
Garlinghouse reminded that SEC brought three lawsuits: against him, Rippleโs co-founder Chris Larson, and Ripple itself. He stressed that the company mostly won the case against the company as the judge wrote that XRP is not a security.
While the ruling acknowledged that XRP could be considered a security in certain circumstances involving institutional sales, Garlinghouse emphasized that this aspect represents a small portion of their overall business.
Moreover, Garlinghouse criticized the SECโs approach to the case, alleging confusion tactics and the creation of market uncertainty. He argued that the SECโs actions have hindered the United Statesโ position in the global crypto community and hindered entrepreneurs and investors from participating in the market.
SEC is bully to crypto
The Ripple CEO acknowledged the overwhelming support from industry peers, who view Rippleโs legal victory as a significant moment as it was the first time the regulator had lost a crypto case.ย
Garlinghouse referred to the SECโs approach as regulatory enforcement rather than building a market through clear rules, stating,
โI think the SEC has been a bully, and theyโve gone after weak players who couldnโt mount a proper defense. Ripple had the fortitude, the courage to kind of go inโฆโ
Ripple CEO Brad Garlinghouse
Rippleโs CEO further touched upon the impact of the lawsuit on XRPโs market presence, mentioning delistings on various platforms, not only in the U.S. but also in Canada.
However, he highlighted that recent developments have seen major U.S. exchanges, including Bitstamp, Gemini, Kraken, and Coinbase, either relisting XRP or expressing their intent to do so. He attributed this positive shift to the clarity the judgeโs ruling provided.
Addressing the potential legal process that may follow, Garlinghouse expressed confidence in the judgeโs decision and downplayed the likelihood of an SEC appeal. He mentioned that an appeal would take years and could further reinforce Judge Analisa Torresโ ruling.
The ruling relieved Ripple and its supporters, signaling a potential turning point in the SECโs treatment of cryptocurrencies. As the industry awaits further developments, the focus now turns to achieving regulatory certainty to foster a thriving and innovative market ecosystem.
