- Ripple CEO calls for modern regulations that align with the unique nature of digital assets.
- The FIT21 bill moves crypto regulation from the SEC to the CFTC under Trump’s agenda.
The legal standoff between Ripple Labs and the U.S. Securities and Exchange Commission (SEC) continues to gain attention, with new allegations sparking further debate.
Amid ongoing conflicts, Rumors have surfaced that the crypto industry’s legal defense expenses are less than investor losses from fraud and market failures.
Defending himself against such controversies, Ripple (XRP) CEO Brad Garlinghouse recently shared his views on the matter.
During an interview on “60 Minutes,” which aired Dec. 8, Garlinghouse gave insight into the company’s bitter battle against the regulatory agency.
As expected, Garlinghouse was not shy about criticizing the SEC, attributing the agency’s aggressive stance on cryptocurrency to its past leadership under Gary Gensler.
60 Minute Interview with Ripple CEO
During the 60 Minutes interview, he highlighted this as a driving factor in the creation of FairShake, an industry super PAC created by Ripple and two other companies to counter what he called a “war on crypto.” “.
Garlinghouse even revealed that Ripple has spent over $150 million in its ongoing legal fight to challenge the SEC’s classification of XRP as a security.
He emphasized that Ripple is not advocating for deregulation, but rather urging Congress to establish clear and distinct rules recognizing the unique characteristics of digital assets, rather than treating them like traditional stocks.
He added,
“I went to Harvard Business School. I think I’m reasonably smart about something like: What is security? So I never considered the possibility that, okay, maybe XRP is a security. We did not ask for deregulation. We asked to be regulated. So we said, hey, look, just give us clear rules of the road.
He further pointed out that existing securities laws are outdated and fail to take into account the complexities of modern blockchain technology.
That being said, Garlinghouse urged Congress to develop new regulatory frameworks specifically tailored to digital assets, emphasizing the need for rules aligned with the unique attributes of these emerging technologies.
He added,
“We did not ask for deregulation. We asked to be regulated. Our goal is simply to write rules.
How will the CFTC help ease crypto regulation?
Garlinghouse also referenced the FIT21 bill, landmark legislation passed with bipartisan support that has had a significant impact on the crypto industry.
The bill redefined regulatory oversight, shifting much of the responsibility for regulating cryptocurrencies from the SEC to the CFTC, aligning with President Donald Trump’s pro-crypto agenda.
According to FOX Business, the Trump administration also plans to give the CFTC broader authority over the $3 trillion digital asset market, with the SEC still present.
Needless to say, amid Garlinghouse’s defense, XRP saw a notable price rally, near $2.60.
However, as of the last update from CoinMarketCap, XRP stood at $2.42, reflecting a 5.4% decline over the past 24 hours.
