Ripple CEO calls former SEC chairman hypocrite

Brad Garlinghouse said that his blood boiled badly after listening to the latest comments passed by the former SEC chairman Jay Clayton.

Walter Joseph “Jay” Clayton III is a 57-year-old American attorney who served as the chairman of the U.S. Securities and Exchange Commission (SEC) from 4 May 2017 until 23 Dec 2020. For the SEC chairman role, he was nominated for the position by President Donald Trump. In Dec 2021, before leaving the SEC agency,  Clayton initiated legal action against Ripple (XRP), a San Francisco headquartered fintech blockchain firm that is known for its XRP cryptocurrency powered cross-border payment services.

On 29 Oct 2023, Jay Clayton appeared in an interview with CNBC and there he said that the regulatory bodies should introduce regulations and legal cases they believe will successfully withstand judicial scrutiny.

A must watch. Former SEC Chairman Jay Clayton describes the new and deeply un-American ethos of the @SECGov under @GaryGensler — if we're not losing cases, we aren't suing enough businesses. This is a total abuse of power. pic.twitter.com/G0HxL4s8Y1

— Cameron Winklevoss (@cameron) June 28, 2023

Ripple CEO Brad Garlinghouse responded to Clayton’s latest statement and said that his blood boiled badly after listening to his comments. 

Garlinghouse recalled how the SEC body sued Ripple under the leadership of Clayton where there was very little chance of success in the case. 

Watching this clip makes my blood boil.

The hypocrisy is shocking. @CNBC @SquawkCNBC should be calling him out for the bullshit.

(As a reminder, jay clayton brought the case against ripple, me and Chris Larsen. And left the building the next day).

— Brad Garlinghouse (@bgarlinghouse) October 28, 2023

According to Ripple CEO, Clayton’s statements are full of hypocrisy and also directly showed his anger against him because the legal action against Ripple firm was baseless which further helped Ripple to win in the court. 

Ripple vs SEC

In July of this year the court judge ruled in favour of Ripple and with that court ruling Ripple secured partial win in the XRP lawsuit.

Later the SEC body was trying to appeal against the court ruling but the court judge rejected the appeal request. 

In the latest development in this case, the SEC body distanced its feet from this legal battle and now Ripple & Ripple executives are free from every type of legal conflict with the SEC.

The XRP lawsuit mainly revolved around the nature of the XRP coin which was an unregistered security token under the purview of the SEC body but now it is legally clear that XRP is not a security token and now companies are showing significant inclination toward Ripple’s business & XRP coin investment.

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