Ripple CEO foresees ground-breaking victory for the payment giant in SEC lawsuit


  • Brad Garlinghouse said in an interview that he is confident of a positive verdict in the SEC vs. Ripple lawsuit in the coming weeks. 
  • Ripple CEO foresees a victory for the cross-border remittance firm after SEC motion to keep Hinman documents under wraps was rejected. 
  • XRP community is awaiting a ruling, anticipating a positive outcome for Ripple. 

Ripple CEO Brad Garlinghouse is optimistic that the payment firm he leads will win the lawsuit brought by the US financial regulator, the Securities and Exchange Commission (SEC). In a recent interview with the tech investment firm SCB 10X, Garlinghouse said that he anticipates a verdict in the SEC vs. Ripple lawsuit will come soon. 

Brad Garlinghouse bullish on a win in SEC vs. Ripple lawsuit

The CEO of the cross-border remittance firm mentioned the rejection by Judge Analisa Torres of the  SEC motion to keep key documents from the William Hinman, SEC former director of corporate finance, emails under wraps as a reason for optimism in the legal battle Ripple has with the US regulator on the nature of the XRP token. The SEC argues that XRP is a security, something that Garlinghouse and Ripple have been denying.

Also read: Here’s why US PCE could make or break Bitcoin price rally to $30,000

The Ripple CEO said in a Youtube interview within the Redefine Conference, that he views the SEC lawsuit “not just as an attack to Ripple, but as an attack to the whole crypto industry.” The SEC’s lawsuit against Ripple has dragged on since December 2020, negatively influencing XRP price and sentiment among XRP holders in the crypto community. 

In the same interview, Garlinghouse told Mukaya (Tai) Panich, CEO of SCB 10X, that a court ruling in Ripple’s favor could set a precedent for the cryptocurrency ecosystem. Garlinghouse reminded Jay Clayton, the previous SEC Chairman, resigned a day after suing Ripple about the legality of trading XRP as an unregistered security.

Briefly referencing recent events surrounding William Hinman, Garlinghouse reaffirmed his commitment to the long-drawn legal battle against the SEC’s allegations on Ripple. 

Why are Hinman documents crucial to Ripple’s defense?

William Hinman’s emails could shed light on the US financial regulator’s internal discussions and stand on “cryptocurrencies being treated as securities.” This has been under scrutiny for some time now and Judge Torres recently rejected the SEC’s motion to keep these documents under wraps. 

Hinman emails could support Ripple’s defense and help determine whether “fair notice” was given and what the SEC’s stance is on treating altcoins and crypto assets as securities.

What are the SEC’s allegations against Ripple?

In its 2020 lawsuit, the SEC alleged that Ripple and its executives illegally sold XRP tokens. XRP, the native token of the XRPLedger, was created in 2012 without being first registered as a security. 

The SEC argues that Ripple violated laws by conducting a $1.3 billion unregistered securities offering. 

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