July 18, 2024


Support for Ripple Grows in SEC Lawsuit Over XRP — CEO Says 'It's Unprecedented'

Support for Ripple Labs in its fight against the U.S. Securities and Exchange Commission (SEC) over xrp has grown, with 12 amicus briefs filed. “It’s unprecedented,” Ripple CEO Brad Garlinghouse said, adding that each brief explains in its own unique way “the irreparable harm the SEC will do to every facet of the U.S. crypto economy if it gets its way.”

12 Amicus Briefs Filed in Support of Ripple

A growing number of amicus briefs have been filed in support of Ripple Labs as the company continues to fight the U.S. Securities and Exchange Commission (SEC) lawsuit over the sale of XRP. Twelve amicus briefs have been filed on behalf of Ripple so far, including one by the Nasdaq-listed cryptocurrency exchange Coinbase, which was among the first trading platforms to delist XRP following the SEC’s lawsuit.

Ripple CEO Brad Garlinghouse tweeted Friday:

For those of you keeping count, 12 amici briefs submitted. It’s unprecedented (I’m told) to have this happen at this stage. They each explain — in their own unique way — the irreparable harm the SEC will do to every facet of the U.S. crypto economy if it gets its way.

Besides Coinbase, other individuals, companies, and organizations that have filed amicus briefs on behalf of Ripple are ICAN, I-Remit, Tapjets, Spendthebits, Blockchain Association, John E. Deaton, Crypto Council for Innovation, Valhil Capital, Chamber of Digital Commerce, Cryptillian Payment Systems, and Veri Dao LLC.

With the growing number of amicus briefs filed on behalf of Ripple, the SEC asked the court for more time to reply to them. On Friday, the court granted the agency’s motion to extend the time for all parties to file and reply to amicus briefs. The deadline for filing amicus briefs is now Nov. 11 and replies must be filed by Nov. 30.

Commenting on the SEC seeking more time to reply to all the amicus briefs filed, Stuart Alderoty, general counsel for Ripple, tweeted Thursday:

A dozen independent voices — companies, developers, exchanges, public interest and trade associations, retail holders — all filing in SEC v Ripple to explain how dangerously wrong the SEC is. The SEC’s response? We need more time, not to listen or engage, but to blindly bulldoze on.

The securities regulator sued Ripple, its CEO, and co-founder Chris Larsen in December 2020 over the sale of XRP, alleging that the crypto token is a security.

Garlinghouse said last month that he expects an answer in the first half of 2023, noting that Ripple would consider a settlement with the securities watchdog if the regulator states that XRP is not a security. The executive stressed that the XRP case is not just about Ripple but the whole crypto industry.

SEC Chairman Gary Gensler has said on several occasions that while bitcoin is a commodity, most other crypto tokens are securities. However, the SEC has been criticized for taking an enforcement-centric approach to regulating the crypto industry. In addition, four U.S. lawmakers sent a letter to Gensler this week accusing him of “hypocritical mismanagement” of the SEC and refusing to “practice what he preaches.”

Do you think the SEC or Ripple Labs will win this case? Do you think the SEC will declare that XRP is not a security? Let us know in the comments section below.


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