The chief executive officer of Ripple, Brad Garlinghouse in a conversation with CNBC, said that the company is expecting the final verdict on the lawsuit filed by the US Securities and Exchange Commission (SEC) over the Ripple next year. Despite the slow-moving judicial process, Ripple is hopeful of getting the final verdict in 2022. Elaborating on the questions asked by the judge, Garlinghouse said that from the nature of inquiries, it can be easily concluded that the judge presiding over the matter has a clear understanding and knows that this decision will have far-reaching consequences not only for the company but also for the entire cryptocurrency domain.
It is important to note that SEC has filed a lawsuit against Ripple in December last year claiming that the organization had gone with the selling of XRP tokens worth $1.3 billion through the unregistered securities. The company, on the other hand, claims that XRP is not a security and hence, they do not require any permission from the statutory authority for selling the currency.
Ripple has of late come up with the regulatory proposal for its policymakers that will help them to regulate the digital currencies even amidst the ongoing lawsuit. The proposed policy framework named “A Real Approach to Cryptocurrency Regulation” consists of a three-pronged approach that can be implemented to get desirable results on regulations and policy frameworks related to digital currencies. The company has repeatedly asserted that there is no clear policy by SEC that has been communicated to them by the regulatory authorities.
It will be interesting to witness what will be the ultimate outcome of this lawsuit filed by the SEC against Ripple. This will definitely be a watershed moment in the history of cryptocurrencies and can significantly decide the path that digital currency will take to get to wider adoption among the masses.