Ripple CEO Brad Garlinghouse spoke about the ongoing legal saga and his company’s financial health at the World Economic Forum (WEF)
At the World Economic Forum (WEF) in Davos, Ripple CEO Brad Garlinghouse spoke out about recent emails from SEC Director Bill Hinman, which were recently ordered to be turned over to the judge. The Ripple executive hinted that they might contain some damning information.
Once these documents are eventually made public, they will likely raise more questions about why the U.S. Securities and Exchange Commission chose to bring its lawsuit against Ripple, according to Garlinghouse.
“When those come to light, I think that we will see more kind of like ‘How is it possible the SEC decided to bring a case against Ripple given what they were saying within their walls,” the Ripple boss said.
Former SEC official Bill Hinman gave a speech in June 2018 about how Ethereum (ETH), the second-largest cryptocurrency shouldn’t be classified as a security.
During the interview, Garlinghouse also acknowledge the reputational damage caused by the FTX collapse as well as founder Sam Bankman Freed’s fraud charge. However, he maintains that the scandal might have been misconstrued as a “crypto problem.”
Garlinghouse spoke about Ripple having a billion-dollar cash pile after the company earned record-high revenue despite the lawsuit by US regulators over XRP’s security status. He highlighted that non-US customers accounted for 95% of Ripple’s clientele. The CEO also noted that there has been less hiring activity, but there are no plans for layoffs.
Speaking of the SEC lawsuit, Garlinghouse remains optimistic about the legal battle with the SEC coming to an end in the first half of 2023.