Ripple SEC Case: Brad Garlinghouse Reveals Losing $150M in SEC Fight, Blames Gary Gensler

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As a seasoned crypto investor with a keen eye for market trends and a knack for recognizing potential, I’ve been closely following the Ripple saga with great interest. Brad Garlinghouse’s recent 60 Minutes interview shed light on some intriguing perspectives, particularly concerning the ongoing Ripple-SEC case and its impact on the crypto market.

In a notable fashion, Brad Garlinghouse, the CEO of Ripple, significantly influences the cryptocurrency market due to his influential status and active engagement within the community. Notably, Ripple is recognized for creating one of the most widely-used blockchain networks and launching XRP, the third largest cryptocurrency. Moreover, discussions surrounding Ripple’s potential impact on the 2024 US election outcome have arisen during his interview on 60 Minutes. However, today’s focus lies on the fact that Ripple is investing a substantial $150M in its ongoing case with the SEC, an agency led by current chair Gary Gensler, according to Brad’s claims.

Brad Garlinghouse Revealed Ripple Struggles With SEC

Brad Garlinghouse was recently featured in an interview on CBS 60 Minutes. During the conversation, he touched upon a variety of subjects, including Ripple’s ongoing issues with the Securities and Exchange Commission (SEC) and the impact political action committees had on the most recent U.S. election.

For several years now, the legal battle between Ripple and the SEC (Securities and Exchange Commission) has had significant repercussions on both Ripple as a company and its native digital token, XRP. The SEC contends that XRP functions as an unregistered security rather than a commodity, a classification that has contributed to the downward trend in the XRP market and the ongoing challenges it faces.

As a researcher delving into the dynamic world of cryptocurrencies, I find myself often grappling with the figure who wields significant influence in this sphere – the current SEC Chair, who unfortunately has earned a less-than-favorable reputation within the crypto community. Under his leadership, the SEC has taken an aggressive stance, filing over 120 lawsuits against various crypto service providers, a move that undeniably slows down the industry’s expansion. One of the most high-profile cases involves XRP, which has been ongoing for quite some time now. However, during a recent 60-minute discussion with the Ripple CEO, he firmly denied any security status associated with XRP. Instead, he emphasized that he sees no resemblance between XRP and securities.

Brad Garlinghouse stated that he hadn’t previously thought of the idea that XRP might be classified as a security, but he believes he has a good understanding about the concept of ‘security’.

Most significantly, it’s crucial to note that the ongoing battle between Ripple and the SEC extends beyond just the XRP price. In fact, Brad shared that Ripple has invested over $150 million in efforts to resolve this legal case. Other crypto companies facing similar battles with the SEC have also been hit financially hard.

Fairshake Wouldn’t Have Existed Without Gary Gensler

In the CBS interview, Brad Garlinghouse explained that because of the Securities and Exchange Commission’s (SEC) crackdown on cryptocurrency, Ripple and other companies collaborated to create an alliance called Fairshake. When asked whether the result might have been different if another SEC chairman had been in place instead of Gary Gensler, Garlinghouse responded by saying, “I can’t say for certain that Fairshake would have been formed.

As a researcher, I’d like to share some insights about Fairshake, which was unveiled in 2023, three years post the Ripple-SEC case. Three entities collaboratively established a federal committee, independent of any expenditure committees, with the primary objective of challenging the SEC Chair. This committee came into being as a direct result of the firm stance taken by Gary Gensler and the SEC regarding cryptocurrencies.

As a crypto investor, I understand that some may perceive the call for the Securities and Exchange Commission (SEC) to step aside in cryptocurrency regulation as a means to reap unregulated profits. However, it’s essential to clarify that this isn’t about doing away with regulations altogether; rather, it’s about seeking suitable, industry-specific oversight. Intriguingly, this seems to align with President Trump’s potential plans, as he aims to transfer regulatory responsibilities from the SEC to the Commodity Futures Trading Commission (CFTC).

We’ve been asking to be regulated. Just give us clear rules of the road.

Brad Garlinghouse Unhappy With 60 Minutes Interview

The live 60-minute interview featuring Ripple CEO Brad Garlinghouse is causing dissatisfaction among him, the crypto community, and themselves due to overlooked important facts regarding XRP and Ripple’s operations, as stated by Garlinghouse in a recent Reddit post.

Tonight, cryptocurrency was introduced on 60 Minutes – it’s clear that these innovative technologies are on the path towards widespread acceptance, expanding their impact and presence in society.

A few things I do want to comment on after watching:

I spoke with Margaret…

— Brad Garlinghouse (@bgarlinghouse) December 9, 2024

What’s more significant is that they overlooked the part explaining the Federal Judge’s decision stating XRP isn’t considered a security. Instead, they broadcast an interview featuring ex-SEC official John Reed Stark, who suggested that many prominent American judges view XRP as a security.

The Ripple SEC case has already caged the XRP’s price performance but the misinformation about the crypto asset is still impacting its performance. However, things might get into the better picture with Gary Gensler’s resignation. 

In summary, the interviews did not meet the hopes of numerous investors as they overlooked crucial details regarding XRP and Ripple’s strategies, and they also fell short in driving the XRP price up to the projected $3, a figure that many financial experts had forecasted following the interview.

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2024-12-09 12:51