Even If XRP Is Declared a Security, Ripple Would Still Succeed –Brad Garlinghouse
AI Trading

The chief executive officer of Ripple, Brad Garlinghouse, believes that the payment firm would still thrive in the industry even if the digital token XRP is declared a security by United States lawmakers.

In an interview on episode 439 of the Pomp Podcast, Garlinghouse discussed the implications of XRP being declared a security by the United States Securities and Exchange Commission (SEC), stating that such a position would run contrary to the prevailing opinion in the G20 markets.

While acknowledging that “it’s very hard to look at XRP as a security,” Garlinghouse said:

“You know if XRP were deemed a security here in the United States that, you know, we have other G20 markets that have taken a different view. I’m not aware of any market globally that thinks that XRP is a security.”

AI Trading

Read Also: PayPal Decides Not To Support XRP. Here Is Why

Garlinghouse added that “more than 90% of RippleNet customers are out of the United States,” suggesting that a securities designation wouldn’t necessarily hinder the company’s underlying business.

If XRP were declared a security in the United States, investors (including Ripple) would need to complete broker-dealer registration with the SEC.

XRP’s regulatory status has been the subject of intense scrutiny for the past few years, with veteran trader Peter Brandt being the latest public figure to declare it a security.

On the opposite side of the spectrum, Congressman Tom Emmer, a Republican from Minnesota, argued in August that XRP is not a security.

Ripple has been the subject of a class-action lawsuit from disgruntled investors claiming that XRP is a security. The lawsuit alleges false advertising and unfair competition chargest against Ripple. An amended filing from March claimed that Garlinghouse was shopping XRP to prospective investors while simultaneously liquidating his holdings.

Read Also: Brad Garlinghouse Explains Why PayPal Did Not Include XRP in Its New Crypto Business

XRP is back in the limelight this month following an explosive rally that pushed the cryptocurrency above a multi-year range. It was the subject of heavy profit-taking on Thursday, falling more than 28%.

AI Trading

HeraldSheets.com produces top quality content for crypto companies. We provide brand exposure for hundreds of companies. All of our clients appreciate our services. If you have any questions you may contact us. Cryptocurrencies and Digital tokens are highly volatile, conduct your own research before making any investment decisions. Some of the posts on this website are guest posts or paid posts that are not written by our authors and the views expressed in them do not reflect the views of this website. Herald Sheets is not responsible for the content, accuracy, quality, advertising, products or any other content posted on the site. Read full terms and conditions / disclaimer.

Solomon Odunayo

By Solomon Odunayo

Solomon Odunayo is an accomplished blockchain and cryptocurrency expert at Herald Sheets, known for his in-depth analysis and engaging articles that cater to both beginners and experienced readers. With a degree in Computer Science from the University of Lagos, Solomon leverages his technical background and keen understanding of the crypto space to provide readers with valuable insights and up-to-date news. His passion for innovation and commitment to staying current with industry developments make him a trusted voice in the digital currency community.