• Ripple CEO Brad Garlinghouse recently spoke at the Dubai FinTech Summit, addressing the company’s ongoing legal battle with the U.S. Securities and Exchange Commission (SEC).
• Venture capitalist Jason Calacanis argued that XRP should be considered a security and that Ripple should have registered it as such.
• Garlinghouse revealed that the company would spend around $200 million defending itself against the SEC lawsuit.
Ripple’s Ongoing Legal Battle
Ripple CEO Brad Garlinghouse recently spoke at the Dubai FinTech Summit, addressing the company’s ongoing legal battle with the U.S. Securities and Exchange Commission (SEC). The SEC has accused Ripple of conducting an unregistered securities offering involving its native token XRP, which is currently in dispute in court.
Venture Capitalist Argues for Registration
Venture capitalist Jason Calacanis weighed in on the situation, stating in response to Garlinghouse’s interview that XRP should be considered a security and that Ripple should have registered it as such. He argued that it would have been more cost-effective for Ripple to register XRP as a security and play by the rules, like other market participants do all day long.
Garlinghouse Dismisses Security Claims
Garlinghouse dismissed Calacanis’s claims, questioning his knowledge of securities law and expressing frustration with the lack of clarity regarding registering digital assets in the U.S., which he considers an embarrassment.
Expenses for Defending Against Lawsuit
At the Dubai FinTech Summit, Garlinghouse provided more details about Ripple’s expenses in defending itself against the SEC lawsuit. He told CNBC that bythe time this case concludes,thecompany will have spent around $200 million USD fighting their corner..
Conclusion
Despite criticism from venture capitalists like Jason Calacanis who believe that registering XRP as a security could ease some of Ripple’s current legal troubles, CEO Brad Garlingheuse has firmly defended his company’s position, expressing frustration over regulatory uncertainty surrounding digital asset registration in America and revealing how much they are spending on their own defense against what he calls an „embarrassing“ lawsuit from US regulators.