The lawsuit between the SEC and Ripple has been active for over 2 years now. There have been many hearings of the case, and it looks like that Ripple has the upper hand in the lawsuit. However, it is costing them a lot. The CEO, Garlinghouse, recently shared in an interview that Ripple will have spent more than $100M on the lawsuit with SEC, just for legal fees, till it gets over. It is expected that the Ripple and SEC case will end before Christmas 2022.
Ripple’s determination to win this
Despite the heavy cash burn behind the lawsuit, XRP is not backing off. If they win the case, it won’t just be a victory for them but the entire industry. So, that’s the reason they are not settling the case or backing off even after the huge costs they have to bear. The company’s CEO also said that the huge cost involved in fighting the SEC has worked in favor of the authorities time and again. Not every company can afford it or would go out of their way to fight a legal battle as well. The smaller a company, the easier it becomes for the SEC to intimidate them.
All this is important, but it doesn’t change the fact that Ripple is not letting this go. And they have already come so far that there is no point in even discussing this. Garlinghouse even explained why they went on to find this legal battle and not settle the case. Well, he said that the most obvious point is the importance of the lawsuit for the entire industry and not just XRP. Plus, the lawsuit is to force the SEC to give over clarity on regulation in the sector.
The lawsuit has also shown everyone the corrupt practices of the SEC. Bill Hinman’s speech of 2018 and the other malpractices that happened during the time is a clear example of things aren’t always the way they seem to be.
What happens if XRP loses?
Even though it seems unlikely for XRP to lose due to the flurry of evidence that goes against the SEC, you never know. If Ripple wins, it will be major for the industry, and the SEC will be forced to bring more explicit regulations. On the other hand, if they lose, the authorities will likely pursue other companies and projects. They might be compelled to settle matters outside court.
What are your thoughts as Garlinghouse says that Ripple will have spent over $100M on the lawsuit with SEC? And do you think they will win the lawsuit? Let us know in the comments below. Also, if you found our content informative, do like and share it with your friends.