Bitcoin

Don’t expect Coin Center to defend XRP before the U.S. Securities and Exchange Commission

In your next dispute with the Securities and Exchange Commission, Ripple is not supported by some of the mainstays of the crypto lobby. Jerry Brito, CEO of the Coin Center, made it clear on Tuesday that his organization will not resist the idea that XRP is a security.

In response to a question about the Coin Center’s work to keep XRP out of the SEC’s purview, Brito published two articles in which Coin Center argues why Bitcoin and Ethereum are not securities before pointing out the lack of Ripple in that publication::

Here is a post where we argue that Bitcoin is not a security: https://t.co/RA3Ka4Mu6m

Here is a post where we argue that Ethereum is not a security: https://t.co/GTxWe4ppjQ

You won’t find a similar post for Ripple. We have nothing to say about it.

Coin Center is a nonprofit research and advocacy group that supports the development of crypto-friendly public policies. The organization began advocacy work related to Bitcoin in 2014.

Don’t expect Coin Center to defend XRP before the U.S. Securities and Exchange Commission
Don’t expect Coin Center to defend XRP before the U.S. Securities and Exchange Commission

Ripple has been fighting the SEC for years over whether XRP is a security that should fall under the jurisdiction of the federal securities regulator.. Although Ripple has tried to differentiate itself from XRP, it owns more than half of the total token offering. Many argue that XRP meets the Howey test, which sees securities as any type of investment where returns are dependent on the work of a third party.

The SEC’s pending lawsuit against Ripple was announced by CEO Brad Garlinghouse, who took to Twitter Monday night to assess public opinion.

Today the SEC decided to attack cryptocurrencies. President Jay Clayton chooses the winners in his final act, trying to limit American innovations in the crypto industry to BTC and ETH.

The price of XRP has been in freefall since Garlinghouse decided to bring the alleged demand to the public. The third largest cryptocurrency by market cap fell below $ 0.50 and saw a double-digit percentage decline.

According to Garlinghouse, having a SEC security designation for Ripple or XRP isn’t the end of the world. He told the Pomp Podcast last month that “over 90% of RippleNet’s customers are outside of the US.”

However, such a designation would require U.S. investors to complete brokerage registration with the SEC in order to hold XRP, which is a potential barrier to adoption.

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