Ripple CEO Brad Garlinghouse believes his company can still thrive under a hypothetical scenario in which US lawmakers declare XRP as safety.

On episode 439 of the Pomp podcast, Garlinghouse talked about the implications of the SEC’s announcement of XRP by the stock exchange. According to him, such a position would contradict the prevailing opinion in the G20 markets.

While acknowledging that it is “very difficult to view XRP as a safety,” Garlinghouse said:

“You know, if XRP is considered safe here in the United States, you know we have other G20 markets that take a different view. I don’t know one global market that believes XRP is security.”
“Over 90% of RippleNet’s customers are outside the United States,” Garlinghouse added, noting that naming the securities wouldn’t necessarily hinder the company’s core business.

If XRP is to be declared a stock in the US, investors (including Ripple) will need to register as a broker with the SEC.

The regulatory status of XRP has come under scrutiny in recent years, with veteran trader Peter Brandt becoming the latest public figure to declare it a security.

On the other hand, Republican Rep. Tom Emmer, a Minnesota R-Republic, argued in August that XRP is not a safety.

Disgruntled investors claiming XRP is a guarantee filed a class-action lawsuit against Ripple. The lawsuit alleges that Ripple was placed in false advertisements and unfair competition. March revised filings stated that Garlinghouse was selling XRP to potential investors when it liquidated its stake.

XRP is back in the spotlight this month after a sharp spike that saw the cryptocurrency cross a milestone for several years. It posted strong profits on Thursday and was down over 28%.

Source: CoinTelegraph