Ripple’s CEO has broken a weeklong silence to address the SEC’s lawsuit over the sale of XRP tokens — describing the commission’s allegations as “unlawful.”
On Twitter, Brad Garlinghouse set out to answer five questions that the embattled company has faced over the legal action, which centers on whether the distribution of XRP tokens amounted to an unregistered securities sale.
Amid anger among some critics who have asked why Ripple hasn’t settled the suit — a move that some believe would have prevented XRP’s dramatic price fall and stopped the altcoin from being delisted by major exchanges — Garlinghouse stressed the company has tried to reach an agreement… and will continue to do so when Biden enters the Oval Office.
With a number of U.S. exchanges delisting XRP in a hurry once the lawsuit was unveiled, Garlinghouse stressed that Ripple has no control over where the altcoin is listed. He added:
“We’ve moved from lack of regulatory clarity to regulatory chaos in the U.S. This is why regulation by enforcement is such bad public policy.”
Garlinghouse also defended Ripple’s silence since the bombshell announcement was made in December, writing:
“The legal process can be slow! Things may seem quiet, but there is plenty happening behind the scenes. We’ll be filing our initial response within weeks.”
As we reported yesterday, XRP experienced a sudden — and apparently random — surge in its price. At one point, the embattled altcoin was up by 45.6% to hit $0.33… despite the fact that there had been no meaningful breakthrough in the legal drama.
The surge meant Litecoin’s elevation to the world’s fourth-biggest cryptocurrency was short lived, but some skeptics have expressed concern that this could be a dead cat bounce.
Subscribe To Our Newsletter!
Stay ahead of the curve with the free CoinMarketCap newsletter. We’ll bring you the latest headlines, analysis and market activity, direct to your inbox, every weekday.