Cardano Founder Insists Ripple Is Not Securities It Is Commodities Just Like Ethereum and Bitcoin.
In response to the ongoing legal dispute between Ripple Labs and the SEC, Cardano co-founder Charles Hoskinson has expressed his thoughts on the case and he said that Ripple (XRP) is not a security.
The Ongoing Case
The Cardano co-founder Charles Hoskinson spoke recently about the ongoing legal battle between Ripple and the SEC.
In 2020, the SEC filed a lawsuit against Ripple Labs and its executives for distributing unregistered XRP tokens.
Ripple, as a result of the lawsuit, terminated several partnership deals as well as delisted XRP tokens from several cryptocurrency exchanges in the US. Analysts blame XRP’s poor performance on the ongoing case, with most investors shying away from XRP.
There has been increased interest in XRP as the case nears a conclusion and Ripple appears more likely to win.
Data from Crypto News Flash indicates the coin has gained more than eight percent over the past seven days, reaching above $0.51.
Supported by Huge Companies
Ripple’s case has recently been supported by two huge companies. A Philippines-based remittance service, I-Remit and Private jet charter company have requested to file an amicus brief to help showcase the utility of the XRP token in the lawsuit.
“#XRPCommunity #SECGov v. #Ripple #XRP I-Remit, Inc., a global payment remittance company that uses the RippleNet software, has filed an application to file an amicus brief in support of the Ripple Defendants’ Motion for Summary Judgment,” tweeted by James K. Filan, a lawyer for Ripple.
A list of influential people who support Ripple was updated over the weekend with Cardano co-founder Charles Hoskinson being added.
Hoskinson noted in a Twitter thread that most layer 1 protocols, including Ripple, are not securities.
The merits of the case should rest on the absurdity of applying securities regulation to something that has millions of independent participants in more than a 100 countries who cannot be controlled by any fiduciary of a single company (6/16)
— Charles Hoskinson (@IOHK_Charles) October 8, 2022
“The merits of the case should rest on the absurdity of applying securities regulation to something that has millions of independent participants in more than a 100 countries who cannot be controlled by any fiduciary of a single company,” tweeted him.
He also said, “people speculating on oil doesn’t make oil a security anymore so than baseball cards. You can always securitize oil or baseball cards, but then you have obvious issuers and information asymmetries”.