The Experts Weigh In
Linqto asked members Greg Kidd (former Chief Risk Officer of Ripple), JP Thieriot (CEO of Uphold), and Jeremy Hogan (Hogan & Hogan Law) for their current opinions on Ripple. Here are their comments.
“Ripple has, somewhat inadvertently, become the flagbearer for the entirety of crypto, vis a vis the disposition of the regulators and the status quo – particularly as it relates to the United States. Beyond the notion that all publicity is good publicity, carrying the flag for, if not the entirety of the industry, then a very large part of it, casts the company in a very bright light, imbuing its fortunes with a significance that far transcends whether its products succeed or not in replacing SWIFT in the short term. Depending on how the case is adjudicated, the US could become home to Silicon Valley II… or that opportunity and privilege could pass along to a more open minded regime. In either event, history will enshrine the name ‘Ripple’ as the determining factor and SEC v Ripple Labs Inc as the corresponding landmark case.”
“Well our current take is that the dispute symbolizes the tragedy of the US “shakedown” regulatory ethos of leaving rules lacking or ambivalent and then promogulating enforcement actions with “pay-offs” but no clarity. This is Tony Soprano at its finest, and an embarrassment to the rest of the world..”
“I believe that the judge will decide the majority, if not all, of the Ripple case based on the motions for summary judgment in early 2022. In the litigation, it would be hard to argue that things have gone well for the SEC. Ripple has won all the big hearings thus far. The next big hearing to look out for is the SEC’s motion to strike Ripple’s Fair Notice Defense…I think if Ripple WINS that hearing, that might be the catalyst the parties need to approach the settlement table as a loss on the fair notice defense would cripple the regulation that Chair Gensler wants to bring to the table.”
Ripple Labs … has ridden a wave of interest in crypto. Transactions on its payment network gained 33% in the third quarter, bolstering its bank balance to more than $500M. Blank check companies have approached the firm about taking it public through a merger, said CEO Brad Garlinghouse in an interview.
reporting by Hannah Miller – The Information