The ongoing legal battle between Ripple Labs and the U.S. Securities and Exchange Commission (SEC) continues to attract significant attention, with new allegations sparking further discussion.
Rumors have emerged suggesting that the cryptocurrency industry spends less on legal defenses compared to losses suffered by investors due to fraud and market failures.
In response to these controversies, Ripple [XRP] CEO Brad Garlinghouse voiced his opinion on the matter.
Recently, during an interview on ’60 Minutes’ on December 8, Garlinghouse provided insights into the company’s ongoing struggle against regulatory authorities.
Unsurprisingly, Garlinghouse didn’t shy away from criticizing the SEC, linking its tough stance on digital currencies to its previous leadership, particularly under Gary Gensler.
Exclusive Interview with Ripple’s CEO on 60 Minutes
During the 60 Minutes interview, he pointed out that this was a significant factor behind the creation of FairShake, a super PAC in the industry formed by Ripple and two other firms to combat what he labeled as a “campaign against crypto.”
Garlinghouse even revealed that Ripple has invested over $150 million in its ongoing legal battle to challenge the SEC’s classification of XRP as a security.
He stressed that Ripple isn’t pushing for deregulation but is advocating for clear and precise regulations from Congress that acknowledge the distinct features of digital assets instead of treating them like traditional stocks.
He remarked,
“I attended Harvard Business School. I consider myself reasonably knowledgeable about topics like defining a security. Not once did I think, okay, maybe XRP is a security. We aren’t seeking deregulation. We are seeking proper regulation. We’re simply saying – hey, provide us with clear guidelines.”
He also highlighted that current securities laws are outdated and fail to address the intricacies of modern blockchain technology.
Furthermore, Garlinghouse urged Congress to craft new regulatory frameworks tailored to digital assets, emphasizing the necessity for regulations that fit the unique characteristics of these emerging technologies.
He added,
“We aren’t pushing for deregulation. We are advocating for regulation. We just want well-defined rules.”
Ensuring Smoother Crypto Regulation with the CFTC
Garlinghouse also mentioned the FIT21 bill, a significant bipartisan legislation that had a substantial impact on the crypto sphere.
The bill redefined regulatory supervision, transferring a chunk of cryptocurrency oversight from the SEC to the CFTC, aligning with President Donald Trump’s favorable stance towards crypto.
According to FOX Business, the Trump administration aims to grant the CFTC more extensive authority over the $3 trillion digital asset market while still involving the SEC.
Despite Garlinghouse’s defense, XRP experienced a significant price hike, reaching nearly $2.60.
However, as per the latest data from CoinMarketCap, XRP settled at $2.42, registering a 5.4% decrease in the past 24 hours.