Ripple Legal Executive is Working with the SEC about the “XRP is a Security” Myth
Ripple Works With SEC To Educate About XRP Use Cases
In the last months, Ripple has been trying to separate itself from the cryptocurrency XRP in order to avoid being considered a security by the U.S. Securities and Exchange Commission (SEC). According to Sagar Sarbhai, Head of Government & Regulatory Relations, APAC & Middle East at Ripple, the company is continuously engaging with the SEC in order to educate them about the use cases of XRP.
Ripple has been working very hard in order for the SEC to take a positive decision towards XRP and avoid considering it a security. Additionally, he said that the company is convinced that XRP is not a security, and he showed different facts in order to explain that particular position.
He said that if a person invests in XRP it would not receive a stake in the company or any dividends from Ripple. Moreover, he explained that Ripple and XRP are different. Indeed, this is something that the crypto community has been marking in the last months.
XRP Could be used even if Ripple stops existing. Moreover, as the ledger is open source, everyone interested on it can start working with it.
Additionally, Brad Garlinghouse, CEO of Ripple, explained that XRP is fully decentralized and that the company controls just 7% of the public blockchain. Furthermore, Sarbhai said that in Thailand, XRP has been allowed to be traded among six other important cryptocurrencies and has been called ‘digital asset.’
Other countries such as Australia and Philippines, have categorized XRP and other digital asses as a commodity or cryptocurrency, but not as a security.
XRP is one of the most valuable cryptocurrencies in the market after Bitcoin (BTC) and Ethereum (ETH). At the moment, it is being traded around $0.32 dollars and has a market capitalization of $12 billion dollars.