Cryptocurrency
Ripple Lawsuit Raises Questions on XRP's Security Status
Saturday. June 22 at 2:00 AM
1 min. readA significant legal battle involving Ripple Labs and CEO Brad Garlinghouse is moving to trial following a judge's decision to deny Ripple's request for summary judgment. The lawsuit revolves around allegations that Garlinghouse made misleading statements in a 2017 interview about his XRP holdings. The plaintiff claims that Garlinghouse's statements were deceptive as he sold millions of XRP that same year. The case also questions whether XRP should be classified as a security under US law, which could have far-reaching implications for the cryptocurrency industry. Despite Ripple's defense arguing against XRP being a security, the judge's decision to proceed to trial indicates a complex legal battle ahead. The outcome of this trial could set precedents for how digital assets are regulated and marketed in the US, impacting the broader crypto regulatory landscape.