Ripple CEO Brad Garlinghouse wants to settle with the SEC under one condition

Brad Garlinghouse revealed his plans to reach a settlement with the SEC.
Ripple is looking for absolute certainty on the type of altcoin XRP is, security or not.
Ripple CEO wants cryptocurrencies regulated, in opposition to SEC Chair Gary Gensler’s views.

The Securities Exchange Commission (SEC) case against Ripple is drawing to a close. Based on the new developments, Ripple is likely to settle on one condition.

SEC v. Ripple case developments suggest that proceedings nearing conclusion

Brad Garlinghouse, CEO of Ripple, has revealed that the San Francisco based payments firm is likely to settle in the SEC v. Ripple case.

Garlinghouse has revealed that a settlement is likely to occur on one condition, that the regulator is expected to clearly define the regulatory status of XRP.

Garlinghouse states,

To the extent we can find a constructive path forward with the SEC, we, of course, want to find that. There’s no scenario, though, that we’re going to settle unless there’s absolute certainty about what XRP is on a go-forward basis.

Furthermore, the SEC has denied the motion by Ripple to seek internal documents about SEC’s internal trading policies and pre-clearance decisions. It is clear that unless there is absolute clarity on the nature of XRP, a settlement is unlikely to occur.

Garlinghouse argues that Ripple is using technology, at the same time when other cryptocurrency entities are. He says that XRP is not a security and it does not represent ownership in Ripple.

SEC Chair Gary Gensler recently stated that cryptocurrencies are unregulated entities, using the phrase “wild wild west,” when referring to regulation in crypto. Garlinghouse does not agree, as he states,

We lose sight of the fact that crypto is regulated. It’s regulated by the CFTC (Commodity Futures Trading Commission). It’s regulated by other government entities, whether it's FinCEN (Financial Crimes Enforcement Network) and the US Treasury.

Rosie Rios, the 43rd treasurer of the United States recently commented on XRP’s utility and how it is different from other cryptocurrencies that find their value through speculation.

XRP’s primary purpose is facilitating cross border payments while other #Cryptos find their value in speculation. China’s latest move brings this point home. #Ripple #ripplenet #Bitcoin
— Rosie Rios (@RosieRios) September 26, 2021

FXStreet analysts have evaluated XRP and contemplate a 15% drop in price, expecting the altcoin will retest the floor.

Share: Cryptos feed

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.