Ripple’s CEO shared his views on the possible consequences of a lawsuit filed by the US Securities and Exchange Commission (SEC) regarding the sale of xrp, which regulators claim to be an unregistered securities offering.
Ripple CEO discusses what it means for the SEC to win the proceedings
Ripple CEO Brad Garlinghouse discussed a lawsuit filed by the US Securities and Exchange Commission (SEC) over XRP earlier this month in an interview with Axios at the Collision 2022 event.
The SEC sued Ripple Labs, Garlinghouse, and co-founder Chris Larsen in December 2020, claiming that the sale of XRP was an unregistered securities offering. Ripple disagreed with the SEC and has since fought a legal battle with securities regulators.
During the interview, Garlinghouse was asked what would happen if he did not rule in his favor and XRP was considered security.
Ripple executives quickly emphasized that in such situations, XRP is considered security only in the United States. He clarified:
The SEC has jurisdiction only in the United States, and in some respects … the current state of the world’s operations is as if the incident had been lost.
He added that investors cannot trade XRP in the US on most platforms. For example, Coinbase suspended trading on XRP shortly after the SEC filed a proceeding against Ripple.
“If Ripple loses the case, is there any change? It’s basically the same. Ripple is still growing very fast,” Garlinghouse said.
Garlinghouse is betting on winning the SEC
Emphasizing that he is betting that Ripple will win the proceedings against securities regulators, executives asserted:
I’m betting it because I think the facts are on our side. I’m betting on it because the law is on our side.
“I think the SEC has gone a long way and I think it’s trying to get some kind of jurisdiction … I think they saw this gray area as” Hey, we’re going in “,” Ripple said. Explained.
He added: I think many companies are aware of how important this case is to the industry as a whole. “
In April, Ripple’s legal adviser, Stuart Alderoti, tweeted: XRP’s market capitalization of $ 15 billion was destroyed on the day the proceedings were filed, hurting those the SEC is trying to protect. “
Do you think the SEC will win the proceedings against Ripple over XRP? Let us know in the comments section below.
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