The CEO of the fintech organization Ripple, Brad Garlinghouse, said that the company in making good progress in a legal battle it has with U.S. Securities and Exchange Commission over its ties with XRP.
At the time of the crypto craze in 2017-18, prices of cryptocurrencies like ether, bitcoin and more saw their prices shoot up sky-high. XRP was also one such token that benefitted from this surge, and became closely involved with Ripple. The company is involved in developing technology that helps banks and financial services send money past borders efficiently, and uses XRP as well for their cross-border payments, which they have termed as On-Demand Liquidity.
The U.S. Securities and Exchange Commission ensued a legal case against Ripple as it was concerned that the organizations and lead executives sold off $1.3 billion value in cryptotokens in an unregistered securities offering. Ripple defended their actions by claiming that XRP cannot come under the purview of a security, as it would be subject to a lot more regulatory issues.
As of today, the judicial process have been moving quite slowly, but as Garlinghouse mentioned, the case is gaining momentum. He told that the judge has been asking good questions to both parties, and also takes into account that this issue is not only about either party but will have much broader implications. It will give a lot more clarity to future investors about the regulatory nature of the market.
He believes the matter is moving in a positive direction and a judgment can be expected by 2022.