Ripple CEO Brad Garlinghouse recently sat down for an interview with journalist Eleanor Terrett to discuss the ongoing legal battles between the crypto industry and the U.S. Securities and Exchange Commission (SEC).
The focus of the meeting was on the SEC’s cross-appeal regarding the definition of an investment contract under the Securities Act and its potential impact on the industry.
During the interview, Garlinghouse addressed concerns raised by investor Anthony Pompliano about the classification of cryptocurrencies as investment contracts and its implications for platforms like Coinbase.
Garlinghouse expressed his concerns about the possible outcome of the SEC’s legal battles, warning that a negative ruling could drive crypto innovation offshore and away from U.S. regulations.
When asked about SEC Chairman Gary Gensler and the agency’s role in the crypto landscape, Garlinghouse hinted at the possibility of a new SEC chairman in the future.
Pompliano also raised the issue of the SEC’s approval of the Coinbase IPO and Bitcoin ETFs, contrasting it with the agency’s overall stance towards the industry. Garlinghouse criticized the SEC’s actions, stating that they were reluctant to approve the Bitcoin ETF and were essentially forced to do so.
Despite the regulatory challenges, Garlinghouse remains optimistic about Ripple’s growth in the next 12 to 18 months. He highlighted the increasing institutional interest in Ripple following the recent Swell event, which included discussions with major banks.
Garlinghouse emphasized Ripple’s expansion into new business areas, such as custody and stablecoins, as reasons for optimism about the company’s future.
*This content is for informational purposes only and should not be construed as investment advice.