Since 2020, the SEC has been suing Ripple for allegedly selling tokens XRP through unrecorded securities transactions. However, Ripple officials are displaying great serenity as the confrontation unfolds. Indeed, the balance tilts more on the side of the crypto company. Moreover, the boss, Brad Garlinghouse, foresees the end of the arm wrestling soon.
Ripple set to win lawsuit over XRP securities
Brad Garlinghouse, CEO of Ripple, gave his point of view on the course of the legal battle between the company he heads and the Securities and Exchange Commission (SEC) of the United States. This was during the DC Fintech Week crypto conference, which took place from October 11-12. According to him, the battle will end in three or four months, but probably in the first half of 2023.
If he remains optimistic about this schedule, Garlinghouse tempers and indicates that it is also possible that it does not hold. “Federal judges work at their own pace. In the best case, we expect three to four months. But in the worst case, it could be longer,” he asserted.
According to him, this prognosis is based on the accumulation of evidence in favor of Ripple. One of the most important is a statement by William Hinman, former head of the SEC, dating from 2018. The official then claimed that bitcoin (BTC) and ethereum (ETH) are not securities. This statement is the cornerstone of the crypto firm’s defense at this stage of the trial. At the end of September, the judge in charge of the case rejected the request of the SEC not to reveal the document in which Hinman made these remarks. For the XRP community, this request from the SEC is an admission of weakness and announces the defeat of the authorities.
In addition, the judge allowed two companies to file amicus curiae briefs in defense of Ripple. These are I-Remit and TapJet, which will have to file their documents by October 14 at the latest. They will argue that the endless SEC lawsuit against Ripple is hurting their business. Indeed, the XRP Ledger (XRPL) and its native crypto XRP are important for these companies. According to analysts, the arrival of I-Remit and TapJet should speed things up in favor of Ripple.
Brad Garlinghouse maintains that Ripple is open to settlement with the SEC. However, on one condition: that the regulator admits that XRP cannot be considered as a security. According to analysts, once the verdict is in favor of Ripple, there will be a ” blast “ of the price of XRP. Additionally, Garlinghouse added that a Ripple win “would not just decide the fate of society, but shape the future of the entire crypto industry”.
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