Brad Garlinghouse Slams US SEC for Using XRP Quarterly Reports against Ripple in Lawsuit
Ripple announced the recent ruling has pushed it to shift its approach to XRP market transparency, particularly on the escrow holdings.
The recent ruling on SEC vs Ripple lawsuit has undeniably helped XRP gain in value and also traded volume. Following the ruling earlier last month, several centralized cryptocurrency exchanges including Coinbase Global Inc (NASDAQ: COIN), Kraken, and Bitstamp, among others re-listed XRP for American crypto traders. Consequently, the XPR’s price experienced a macro breakout gray could lead to further gains in the coming months. Moreover, the XRP market is already bolstered by the many strategic partnerships between Ripple and traditional financial institutions in streamlining cross-border payments.
XRP Market 2023 Q2 Report
Ripple highlighted in the second quarter insights published on July 31 that the report would shift from the traditional format but still focus on providing transparency within the XRP market. Notably, the company focused on debunking several misconceptions identified since the ruling on July 13, in addition to providing some transparency on its XRP holdings. Furthermore, Ripple has been slammed for dumping millions of XRP into the market monthly instead of decentralizing the issuance process through a staking or mining mechanism.
Ripple highlighted that the SEC has no jurisdiction in the crypto market and should not purport to protect retail investors. Moreover, most XRP holders were against the lawsuit since it eviscerated their holdings for years.
“Consumers need protection, but not all roads lead to the SEC. If the SEC’s overreach has exposed a regulatory gap, that gap is not for a court to fill (and certainly not for the SEC to fill without legal authority). Protecting retail crypto traders is an important policy goal that is best addressed through thoughtful legislation,” the Ripple report noted.
In regards to the XRP market, Ripple only highlighted that it has some holdings excluding the escrow account. The company added that the majority of escrow’s monthly releases are put back for future access.
Ripple CEO Garlinghouse Slams SEC
According to Ripple CEO Brad Garlinghouse, the SEC misunderstood the company’s quarterly XRP markets report after using them during the lawsuit. Nonetheless, Garlinghouse reiterated that the company will continue to Forster market transparency but from a different angle in the future.
We began these reports to voluntarily provide updates given our XRP holdings. Sadly, they were used against us in the SEC lawsuit – however, we remain steadfast in our commitment to transparency but I suspect they’re going to look a bit different moving forward https://t.co/oANR6WCG09
— Brad Garlinghouse (@bgarlinghouse) August 2, 2023
The statement by Garlinghouse was backed by digital asset-friendly lawyer John E Deaton who noted that Ripple was never obligated to issue the transparency reports as a private company. However, Deaton thinks the SEC could have used the same card by referring to fraud charges if Ripple did not provide transparency information
“Even though the SEC and others used this info against Ripple, the transparency prevented the SEC from attempting to assert bogus fraud, misrepresentation, or manipulation charges – which, let’s face it, it would have, if it could have. When you are transparent they can’t claim fraud – even when they want to,” Deaton noted.
next
Let’s talk crypto, Metaverse, NFTs, CeDeFi, and Stocks, and focus on multi-chain as the future of blockchain technology.
Let us all WIN!
