Show an ad over header. AMP

Ripple CEO calls for clearer crypto regulations following SEC lawsuit

Ripple CEO Brad Garlinghouse tells "Axios on HBO" that if his company loses a lawsuit brought by the SEC, it would put the U.S. cryptocurrency industry at a competitive disadvantage.

Why it matters: Garlinghouse's comments may seem self-serving, but his call for clearer crypto rules is consistent with longstanding entreaties from other industry players.


History: The SEC in December sued Ripple, and Garlinghouse personally, for allegedly selling over $1.3 billion in unregistered securities.

  • Ripple filed its formal response last Thursday. It argues that its cryptocurrency, called XRP, didn't require registration because it's an asset rather than a security.
  • Ripple secured a separate legal victory last Friday, as a Delaware court ruled that U.K.-based Tetragon Financial Group cannot recoup its $175 million investment in Ripple because of the SEC lawsuit.

What he's saying: "Many countries around the world, the U.K., Japan, Switzerland, Singapore, they all have clarity and certainty that XRP is not a security. In fact, the United States is the only country on the planet that has suggested that XRP is a security. That's why I say this isn't just bad for Ripple, it's bad for crypto broadly here in the United States. And it's driving that activity, it's driving that entrepreneurial activity outside the United States."

  • In an unaired part of the interview, Garlinghouse says that were he to launch a new crypto company today, he would base it outside of the U.S.
  • He also expressed confidence that Ripple will prevail against the SEC, but says a loss may lead it to relocate "to a country where there is regulatory clarity and regulatory certainty."

The bottom line: The crypto industry is now large enough and old enough that it deserves a U.S. regulatory framework, whether benefitting Ripple or not.

  • Or, as Garlinghouse put it in another unaired segment, when asked why ordinary Americans should care: "The nature of the U.S.' participation in the internet as we know it today has been a source of massive profits. It's been a source of geopolitical strength. And so our I think our lack of leadership around a next-generation technology like blockchain is not good for the United States."

Corporate America begins to see fallout after wading into politics

Corporate America is finding it can get messy when it steps into politics.

Why it matters: Urged on by shareholders, employees and its own company creeds, Big Business is taking increasing stands on controversial political issues during recent months — and now it's beginning to see the fallout.

Keep reading... Show less

Church shelters call out U.S. for expelling migrants when they have capacity

Despite the separation between church and state, the federal government depends upon religious shelters to help it cope with migration at the U.S.-Mexico border.

Why it matters: The network supports the U.S. in times of crisis, but now some shelter leaders are complaining about expelling families to Mexico when they have capacity — and feel a higher calling — to accommodate them.

Keep reading... Show less

Derek Chauvin's guilty verdict in the murder of George Floyd is the rare officer conviction

Derek Chauvin, the former Minneapolis police officer who was shown kneeling on George Floyd's neck last year in a video that shook the nation, was found guilty of murder and manslaughter on Tuesday.

Yes, but: Eight years after the launch of the Black Lives Matter movement, it's still rare for police officersto face legal consequences or jail time over the deaths of Black people.

Keep reading... Show less

Senate confirms Lisa Monaco as Justice Department's deputy attorney general

The Senate voted 98-2 on Tuesday to confirm Lisa Monaco as deputy attorney general for the Justice Department, making her the agency's second highest-ranking official.

Why it matters: Monaco is expected to play a key role in Attorney General Merrick Garland's pledge to crack down on violence from domestic extremist groups, including the department's sweeping investigation of the deadly Jan. 6 Capitol riot.

Keep reading... Show less

Minneapolis reflects on Chauvin verdict as a step toward healing and calm

A growing crowd outside the Hennepin County Government Center broke out into cheers, hugs and tears of relief as word of the Derek Chauvin verdict spread just after 4pm CST.

Catch up quick: Eleven months after George Floyd died under the former Minneapolis police officer's knee, a jury of 12 neighbors returned a guilty verdict on all three counts.

Keep reading... Show less

"Painfully earned justice has finally arrived for George Floyd’s family": Nation reacts to Chauvin verdict

America is speaking out after the jury in Derek Chauvin's trial announced its guiltyverdict after about 10 hours of deliberation.

What they're saying...

Ben Crump, Floyd family lawyer: "GUILTY! Painfully earned justice has finally arrived for George Floyd’s family ... Justice for Black America is justice for all of America!"

Keep reading... Show less

Derek Chauvin found guilty of all 3 charges in George Floyd's death

A jury on Tuesday found former Minneapolis police officer Derek Chauvin guilty of second-degree murder, third-degree murder and second-degree manslaughter in George Floyd's death.

Why it matters: This rare conviction of a police officer may come to be seen as a defining moment in America's collective reckoning with issues of race and justice.

Keep reading... Show less

Super League in super trouble

The European Super League is on the brink before it even manages to launch.

The state of play: Two key English teams — Chelsea and Manchester City — are reportedly preparing to exit just two days after the league announced its formation, ESPN notes.

Keep reading... Show less

Insights

mail-copy

Get Goodhumans in your inbox

Most Read

More Stories