Ripple CEO Brad Garlinghouse has found himself in a heated Twitter exchange with top venture capitalist Jason Calacanis over the status of XRP, the digital currency tied to the blockchain company.
Calacanis stirred controversy by claiming that XRP is "obviously a security," fueling ongoing legal disputes between Ripple and the U.S. Securities and Exchange Commission (SEC).
In response, Garlinghouse questioned Calacanis's understanding of securities law and accused him of making controversial statements without proper knowledge.
Garlinghouse argued that Calacanis's claim was both embarrassing and incorrect, as there is no framework to register digital assets in the US.
Arman ShirinyanThe heated exchange underscores the ongoing debate surrounding XRP's classification and the lack of a clear regulatory framework for digital assets in the United States.
The heart of the legal tug-of-war between Ripple and the SEC centers on whether XRP should be classified as a security or a digital currency.
The SEC has accused Ripple of conducting an unregistered securities offering through the sale of XRP, firmly planting its flag in the belief that the token is a security.
In contrast, Ripple has thrown its full weight behind the defense of its position, arguing that XRP is a digital currency.
At the Dubai Fintech Summit, Garlinghouse revealed that Ripple is steeling itself for $200 million in legal expenses related to the case.
Arman Shirinyan
Vladislav Sopov
Dan Burgin