In a significant development for the cryptocurrency industry, CEO Brad Garlinghouse has highlighted the firm’s recent legal victory against the U.S. Securities and Exchange Commission (SEC), setting an important precedent for other entities in the crypto space. This information was shared during a panel discussion hosted by Messari on Thursday.
Garlinghouse discussed the partial win that Ripple secured, which he characterized as a “big victory” and likened to a “freight train” through Chairman Gensler’s securities argument. He emphasized the decentralized nature of Ripple and its affiliated XRP tokens, which were at the center of a lawsuit filed by the SEC in December 2020.
The court ruled that XRP tokens aren’t investment contracts, leading to their relisting on major exchanges. This decision is seen as a significant pushback against the SEC’s attempts to classify certain cryptocurrencies as securities.
The Ripple CEO also took time to criticize what he described as the SEC’s bullying tactics disguised as legal victories. He commended Grayscale and Coinbase (NASDAQ:) for their resistance against such actions, highlighting their roles in challenging regulatory pressures within the industry.
This ruling not only marks a milestone for Ripple but also has wider implications for the cryptocurrency industry, potentially influencing how digital assets are regulated and classified in future legal battles.
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