Ripple CEO Brad Garlinghouse discussed his company’s regulatory challenges at the Dubai Fintech Summit, CNBC reports. May 8th.
There, Garlinghouse explained the scale of the ongoing legal dispute between Ripple and the US Securities and Exchange Commission (SEC). He said:
“With the SEC, you’re spending $200 million defending yourself against lawsuits. [people have said] It doesn’t make much sense. ”
Garlinghouse said it was the first time he had publicly shared the costs of a legal dispute, and argued that the US was “certainly stuck” on regulation.
and another tweetGarlinghouse said Ripple is expanding to Dubai in response to the US regulatory environment. He said his 20% of Ripple’s customers are based in his MENA region, which has a “clear regulatory regime” and is becoming a global financial hub.
Ripple’s troubles began in December 2020 when the SEC accused Ripple and its executives of violating securities regulations with the sale of the XRP token.
Ripple is just one company trying to fight the SEC. Cryptocurrency exchange Coinbase is also preparing to take action against the SEC after receiving a Wells Notice from the regulator.
It remains to be seen if either challenge will succeed.
Postripple estimates the SEC’s litigation costs at $200 million. Plans The Dubai expansion first appeared on CryptoSlate.