Ripple CEO: SEC used XRP reports in lawsuit against us

Ripple CEO Brad Garlinghouse says the SEC took Ripple’s transparency reports and used them against the company.
The SEC sued Ripple over its XRP sales in December 2020, alleging the sales amounted to securities contracts.
A court decision recently declared XRP not a security.

In Ripple news today, CEO Brad Garlinghouse has slammed the US Securities and Exchange Commission (SEC) over its apparent weaponization of what’s been “good-faith” transparency reports on XRP.

Acccoridng to him, the SEC took the regular reports and used their details in its lawsuit against the company and its top executives. Garlinghouse, who was also sued by the SEC in December 2020, however, reiterated Ripple’s commitment to transparency.

“We began these reports to voluntarily provide updates given our XRP holdings. Sadly, they were used against us in the SEC lawsuit – however, we remain steadfast in our commitment to transparency but I suspect they’re going to look a bit different moving forward,” he said.

Ripple’s XRP markets reports

Garlinghouse’s remarks followed Ripple’s release of its Q2, 2023 XRP Markets Report, with the company noting the different approach taken. With previous editions, Ripple has focused on multiple XRP ecosystem developments, including market insights and quarterly sales.

We began these reports to voluntarily provide updates given our XRP holdings. Sadly, they were used against us in the SEC lawsuit – however, we remain steadfast in our commitment to transparency but I suspect they’re going to look a bit different moving forward https://t.co/oANR6WCG09

— Brad Garlinghouse (@bgarlinghouse) August 2, 2023

“While published in a good faith effort at transparency, these quarterly reports have been weaponized against the Company by the SEC. Ironic for an agency that touts transparency and disclosure. Accordingly, Ripple is re-evaluating the role and contents of this report going forward and will have updates on that front in Q3 2023,” Team Ripple wrote in its report published July 31.

The change in approach already saw the Q2 report focus on the July 13, 2023 court ruling on XRP, including details “debunking misconceptions” about the ruling being a split decision and that the court deemed some sales of XRP as securities and others not.