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Ripple CEO: Court Decision on SEC Lawsuit Coming Soon

• Ripple Labs CEO Brad Garlinghouse expects a court decision on the SEC lawsuit against the firm in weeks, not months.
• The lawsuit claims that Ripple sold XRP as an unregistered security.
• Garlinghouse believes that the outcome of this case could have significant implications for the cryptocurrency industry as a whole.

Ripple CEO Expects Court Decision On Lawsuit Soon

Ripple Labs CEO Brad Garlinghouse has stated that he expects a court decision to be made soon regarding their ongoing lawsuit with the U.S. Securities and Exchange Commission (SEC). This lawsuit is in relation to allegations that Ripple sold XRP as an unregistered security. Garlinghouse believes that this ruling could have major implications for the entire cryptocurrency industry.

Background To The Case

The SEC filed charges against Ripple back in December 2020, alleging that they had misled investors by selling XRP as an unregistered security. William Hinman, who was formerly Director of Corporate Finance at the SEC, gave a speech declaring Ethereum (ETH) a non-security which has since been taken into account when deliberating on this case. Last week, the judge ruled against the SEC’s effort to redact certain information associated with Hinman’s speech and ordered it to be made public next month.

Garlinghouse’s Comments

In an interview with Tai Panich from SCB 10X, a technology investment firm, Garlinghouse expressed his confidence in seeing a decision from the courts soon: “I think I would guess [the verdict] will be in weeks, not months.” He also mentioned how many entrepreneurs have moved overseas due to lack of clarity within US regulations pertaining to cryptocurrencies, and how much money Ripple has had to spend defending itself against this case.

Outcome Of This Case Could Have Major Implications For Crypto Industry

Garlinghouse believes that regardless of whether or not Ripple is successful in their fight against the SEC’s charges; it could still influence regulatory policies surrounding crypto assets: “What we’ve called out is that government in the United States… is putting politics ahead of smart policy.” He hopes that clear guidelines can be set for other companies and entrepreneurs operating within this space so they can make informed decisions about their investments without having to worry about any legal repercussions further down line.

Conclusion

It remains unclear what conclusion might be reached following this case but one thing is certain; it could have major implications for both Ripple and other players within the cryptocurrency industry if clear regulations are put into place afterwards. Only time will tell whether or not these expectations will be met by both sides involved in this dispute over XRP being classified as a security or not.