Ripple CEO shares his thoughts on the possible consequences of the SEC’s unregistered securities claim. Speaking in an interview at the Collision 2022 event, Brad Garlinghouse made ambitious statements.
Ripple CEO claims SEC ‘largely overrun’
The Ripple CEO highlighted the SEC complaint in an interview with Axios at the Collision 2022 event in mid-July. Underlining that he believes Ripple will emerge victorious in its legal battle against the securities regulator, Galringhouse says that, in his view, the SEC has been largely surpassed. Defendant CEO also argues that the ‘facts’ are on their side:
I’m betting because I think the facts are on our side. I bet because the law is on our side. I think the SEC has largely gone too far and is trying to seize some kind of jurisdiction over something…
What if Ripple loses the lawsuits?
During the interview, Garlinghouse answered questions about what would happen if he couldn’t take a decision in his favour. In that regard, he defined the XRP token as a security. Ripple CEO immediately made it clear that in this scenario, XRP will only be accepted as a security in the US. In the words of Garlinghouse:
The SEC has jurisdiction only in the US… How the world works right now, it’s as if the case was lost.
Garlinghouse also said that most of his U.S. investors will not be able to trade XRP on exchanges. For example, Coinbase stopped trading XRP right after the SEC filed a lawsuit against Ripple. According to Garlinghouse, if Ripple loses the lawsuit, only the status quo will change. “Ripple is still growing very, very fast,” Garlinghouse said.
Legal battle with SEC continues
In December 2020, the SEC sued the company on the grounds that the sale of XRP constituted an unregistered securities offering. Ripple officials Garlinghouse and co-founder Chris Larsen have since been on trial. Since this date, claims and claims have been continuing between the parties. In April, Stuart Alderoty, Ripple’s legal adviser, stated that a decision will come in 2023 and that every day that passes affects US residents who are “mainly a victim of rug pull by the SEC.” Notably, on the day the lawsuit was filed, XRP’s market cap dropped by $15 billion, “harming the people the SEC claims to protect.”
On the technical side, XRP price is forming a bearish pattern on the daily chart.
Meanwhile, the volume profile traces the historical trend with an increase in trading on the indicators. On July 27, XRP price retraced historical resistance with a surge in volume and a big bull engulfing candle. Additionally, a 3-day morning star pattern is forming on the daily chart. This keeps investors’ upside targets up to date. cryptocoin.comWe have presented the current technical levels in this article.
