XRP Lawsuit: Is it Fair Play to Leave Ether Untouched while Imposing Security Law on XRP?

Published by
XRP Lawsuit: Is it Fair Play to Leave Ether Untouched while Imposing Security Law on XRP?

According to recent updates in the ongoing XRP lawsuit, the case seems to be slipping away from Ripple and heading towards a settlement in the SEC’s favor. However, even if Ripple loses the case and XRP is declared as security, the question arises, Why only XRP?

If put in SEC Chief Grundfest’s words, even before the lawsuit was filed, he argued that “imposing security law obligations on XRP while leaving ETH untouched raises fundamental fairness questions about the exercise of commission discretion”. While one may get convinced that Ripple’s sales of XRP in the US were in fact sales of unregistered securities, but how is it any different from Ethereum?

Advertisement

Ripple CEO asserted XRP dominance over ETH if it weren’t for the SEC’s bias

Given the perspective of several crypto proponents, Ripple continues to stay on the right side of the line in lieu of the former SEC executive, William Hinman’s deposition and the glaring red flags on Ethereum getting a free pass with a similar business structure. However, it’s not just Ripple’s supporters, the CEO, Brad Garlinghouse himself believes that XRP is getting dragged through the mud while ETH enjoys its Alt-coin Dominance.

Last month, Garlinghouse claimed that XRP would’ve been at the No. 2 position instead of ETH if it weren’t for the commission’s bias crackdown. While speaking at the DC Fintech Week virtual conference, Garlinghouse argued that the U.S. Securities and Exchange Commission alleged Ripple’s XRP as unregistered security while granting Ethereum a regulatory free pass, which in turn helped ETH shoot through the roof. Additionally, he contented SEC’s “consumer protection” stance, noting that there are “nearly 50,000 U.S. people who hold XRP who are trying to sue the SEC for ‘protecting them’”.

“Within the last few years, XRP was the second most valuable digital asset. As it became clear the SEC had given a hall pass to ETH, ETH obviously has kind of exploded and that clarity has helped.”, argued Garlinghouse.

Advertisement

Share
Published by
Why trust CoinGape: CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights to our readers. Our journalists and analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.
Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.
Ad Disclosure: This site may feature sponsored content and affiliate links. All advertisements are clearly labeled, and ad partners have no influence over our editorial content.

Recent Posts

  • 24/7 Cryptocurrency News

Trump-Backed World Liberty (WLFI) Plans RWA Tokenization Paired with USD1 Stablecoin

Trump Family's World Liberty Financial has unveiled big real-world asset (RWA) tokenization plans on Wednesday,…

October 1, 2025
  • 24/7 Cryptocurrency News

Stripe Eyes U.S. Banking Charter, Pioneers One-Click Stablecoin Issuance for Firms

Fintech giant Stripe has unveiled a suite of tools to enable businesses to tap into…

October 1, 2025
  • 24/7 Cryptocurrency News

Breaking: Metaplanet Expands Treasury With 5,268 BTC Purchase, Climbs to 4th Largest Holder

Metaplanet has expanded its Bitcoin portfolio with another purchase. The Tokyo-listed firm is now the…

October 1, 2025
  • Bitcoin News

BREAKING: Nasdaq Files with US SEC to List BlackRock Bitcoin Premium Income ETF

Nasdaq has officially filed to list and trade BlackRock iShares Bitcoin Premium Income ETF with…

October 1, 2025
  • 24/7 Cryptocurrency News

Mr Beast, Whales Buy ASTER Token Amid 20% Crash, What’s Next?

While the ASTER token has crashed 20% in the last 24 hours, to test the…

October 1, 2025
  • 24/7 Cryptocurrency News

Breaking: U.S. Government Shuts Down After Congress Fails to Pass Funding Bill

The U.S government has entered its first shutdown since 2019 after lawmakers failed to reach…

October 1, 2025