Ripple CEO supports Ethereum, says ETH and XRP are not securities – Times Tabloid

Ripple CEO Brad Garlinghouse has once again criticized the Securities and Exchange Commission’s (SEC) stance on cryptocurrencies.

During a fireside chat at the XRP Las Vegas 2024 event, Garlinghouse asserted that neither XRP, the digital asset primarily distributed by Ripple, nor Ethereum (ETH) should be regulated as securities.

Read also: Forbes: Ripple CEO’s Confidence Helps XRP Surpass Bitcoin (BTC)

SEC Review and Legal Status of Ripple

Ripple CEO’s Comments Come Amid Ripple’s Continued Efforts legal battle with the SEC. The agency filed a lawsuit alleging that XRP constitutes a security, a claim Ripple has consistently denied. While a federal judge governed that the digital asset is not a security, the court found that Ripple violated laws relating to the offering and sale of XRP to institutional clients.

Garlinghouse expanded his comment to target SEC Chairman Gary Gensler, describing him as “unethical” regarding the commission’s handling of cryptocurrency regulation.

The regulatory landscape of Ethereum

The SEC is also examining Ethereum, with an active investigation into whether certain ETH transactions could be considered investment contracts, potentially subjecting the cryptocurrency to securities regulation. However, unlike XRP, Ethereum has never been explicitly classified as a security by the SEC.

Consensys Inc., a software company founded by Joseph Lubin, co-founder of Ethereum, has the SEC continued, preemptively challenging the SEC’s authority to regulate Ethereum. Consensys claims that ETH does not possess the security features and cites an earlier statement from former SEC Director William Hinman supporting this position.

Market performance amid uncertainty

Ripple’s XRP token has faced significant selling pressure, falling more than 10% year-to-date. According to data from CoinMarketCap, XRP is currently trading at an average price of $0.535. Ethereum (ETH), on the other hand, has seen impressive growth this year, appreciating by over 39%.

This rise is likely fueled by the SEC’s approval of a Bitcoin spot ETF, generating broader optimism in the cryptocurrency market. Coinmatetcap data reveals that the current price of ETH is $3,139.

Read also: Leading Crypto Proponent Backs $1,000 XRP Price Target With Major Bullish Factor

Support for Ethereum from Ripple CEO

This is not the first time Garlinghouse has supported Ethereum. Following a positive legal outcome for Ripplen in March, he expressed confidence that the SEC would ultimately fail to classify ETH as a security.

The battle over cryptocurrency regulation is far from over, and Ripple’s lawsuit with the SEC continues to be closely watched. The legal and regulatory outcomes for XRP, Ethereum, and the crypto industry as a whole remain uncertain.

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