Garlinghouse Clarifies Ripple’s Lack of Control Over XRP
- Brad Garlinghouse reaffirms Ripple’s lack of control over XRP.
- Ripple incurred $150M in legal costs, settling with the SEC.
- XRP’s price surged 500% following the settlement news.
Brad Garlinghouse, CEO of Ripple, stated during recent appearances that Ripple does not control XRP, amid ongoing dialogue about the digital asset’s decentralization and legal status.
This distinction is crucial for XRP’s market position and regulatory outlook, as it clarifies its decentralized nature and impacts market confidence and institutional involvement.
Brad Garlinghouse, CEO of Ripple, recently reiterated that Ripple does not control XRP, countering misconceptions surrounding the cryptocurrency’s governance.
This clarification comes amid Ripple’s legal battles, drawing attention to the distinction between the company and the XRP protocol.
Ripple CEO Denies Control Over XRP
Ripple’s CEO, Brad Garlinghouse, emphasized that Ripple does not control the XRP cryptocurrency, a statement made in various public forums. This comes as part of a longstanding clarification effort from Ripple.
Garlinghouse has repeatedly highlighted that XRP operates independently of Ripple, managed by a decentralized network. The clarification is significant, especially following legal challenges involving the SEC.
XRP Value Soars 500% After SEC Settlement
The settlement with the SEC provided clarity, contributing to a 500% rise in XRP’s value. This was further amplified by the launch of new XRP financial products like the U.S. ETF.
Investors and markets responded positively, as the legal resolution highlighted XRP’s non-security status for retail transactions, promoting institutional confidence in XRP-based products.
Clarification May Influence Future Regulator Actions
The legal challenges with the SEC mirror past issues within the crypto industry, where asset control often becomes confused with company governance, akin to misinterpretations surrounding Ethereum.
Based on data and trends, the clarification about XRP’s governance could influence future regulatory actions, potentially benefiting other decentralized projects by setting a clear precedent. Brad Garlinghouse, CEO of Ripple, stated, “Ripple does not control XRP,” emphasizing the independence of the digital asset from the company’s executive decisions. Source.
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