Ripple CEO Brad Garlinghouse calls the SEC a "bully" in the wake of XRP's unprecedented win following the most recent court decision.
Speaking on Bloomberg TV, Garlinghouse describes the palpable joy that filtered through the crypto space following the Ripple lawsuit ruling. He gives the reason that this is the first crypto case that the SEC has lost.
The LBRY case, where the judge ruled in the SEC's favor with the final judgment handed down this week, is a more recent illustration of the agency's winning streak.
The Ripple CEO stated, "I have heard from hundreds of people throughout the industry, there's just broad enthusiasm and excitement, this is the first time the SEC lost a crypto case." Garlinghouse adds, "The SEC has been a bully."
Per Cornerstone Research, the SEC brought 24 crypto-related enforcement cases between January and early June, including lawsuits against the exchanges Binance, Coinbase, Kraken and Gemini. The crypto sector believes the SEC has overstepped its powers.
SEC Chair Gary Gensler, who has long maintained that many digital assets exhibit characteristics of securities, maintains his tough stance. The SEC declared 19 crypto assets as securities in the Binance and Coinbase lawsuits, which investors perceived as potentially damaging enough to trigger a strong sell-off.
As a result, many U.S. crypto businesses have started expanding overseas due to concerns that local trade would be mostly restricted to Bitcoin, which regulators perceive as a commodity.
The Ripple case is a blow to the SEC, which says it is reviewing the ruling. Via its spokesperson, Scott Schneider, the agency said it was "pleased that the court found that XRP tokens were offered and sold by Ripple as investment contracts in violation of the securities laws."
Undermining the SEC's comments, the Ripple CEO says the recent court ruling represents a complete loss for the agency as it means that XRP "is not a security."
Garlinghouse describes the attempt by the SEC to paint the recent verdict as some sort of split victory as pathetic.