Brad Garlinghouse Says Ripple’s Win Over SEC Is A Win For The Entire Crypto Space

Judge Torres’ landmark decision in the legal battle between Ripple and the US SEC could have a positive impact on the entire crypto industry, said former CEO Brad Garlinghouse.

He also hopes the ruling will serve as a wake-up call to the US Congress for upcoming regulations.

a win for everyone

Nearly three years after the SEC sued Ripple for allegedly selling its native cryptocurrency (XRP) as an unregistered security, Judge Annalisa Torres, presiding over the case, ruled earlier this week that almost all The sale does not, in fact, constitute a transaction in securities.

This was considered a major win for the blockchain project, and the hype propelled XRP to a 19-month peak of $0.95.

However, Ripple’s CEO believes that This landmark decision could benefit the industry as a whole, and other assets in particular, which were recently put in the same boat by the securities regulator in its latest lawsuits against Binance and Coinbase.

“It is really an exaggeration for the SEC to suggest, as the chairman has said many times, that basically, everything in the crypto sphere is a security. Well now you have a judge saying very clearly that’s not true and saying very clearly that XRP is not a security on exchanges and all these different use cases I think That definitely helps the entire industry. It’s a win for Ripple, it’s also a win for the entire crypto industry.”

wake up call

Along with many other US-based crypto companies, Ripple has urged the US government to provide more regulatory clarity over the years, but to no avail so far. Garlinghouse expressed hope that Judge Torres’ decision in the case against his company would be a “wake-up bell” for decision-makers in Washington and that Congress would eventually act.

Hopefully, yesterday’s verdict is the wake-up call that Congress needs. The decision directly undermines the SEC’s claim that nearly all tokens are inherently securities – which is likely to set a positive precedent for other digital tokens in the US.

— Brad Garlinghouse (@bgarlinghouse) 15 July 2023

The US has dropped the ball when it comes to regulating the crypto industry, and many other countries have taken more decisive steps. At the same time, the US Securities and Exchange Commission has gone out of its way to target several crypto projects, companies and exchanges, but it is still uncertain whether the agency has the legal authority to do so.