The public and press have only heard the story from the SEC, and we will be filing our response in a few weeks’ time to address these unproven allegations against Ripple.
The SEC’s decision to file this lawsuit isn’t just about Ripple, it’s an attack on the entire crypto industry here in the US. We have always said that there is a dangerous lack of regulatory clarity for crypto in the US – their lawsuit has already hit countless innocent XRP retailers unrelated to Ripple. It has also unnecessarily clouded the water for exchanges, market makers, and traders. The SEC has brought more uncertainty into the marketplace and actively harmed the community it is designed to protect. It is no wonder that some market participants react conservatively to this.
In the meantime, Ripple will continue to operate and support all products and customers in the US and worldwide. The majority of our customers are not in the US and most of the XRP volume is traded outside of the US. There are clear rules for using XRP, for example in the UK, Japan, Switzerland and Singapore. For eight years we’ve been developing products that help hundreds of customers solve global payment-related problems. We will defend our company and look forward to clearing this matter in court to finally bring clarity to the US crypto industry.
At the same time, we look forward to working with all of the commissioners and the new leadership of the SEC once they are appointed. In total, the SEC chairman, six of his directors from each SEC department, the SEC’s chief economist, and the SEC’s general counsel have since left (many of them only left last week). Our unwavering commitment to constructive regulatory engagement has not changed.