Ripple CEO Brad Garlinghouse recently discussed the emergence of Fairshake, a major political action committee (PAC) funded by prominent figures in the crypto industry, during a meeting with CBS News on December 6.

Challenging the SEC’s Regulatory Approach

Garlinghouse, the CEO of Ripple Labs, a blockchain-based global payments solution, stated that Fairshake was created in response to the Securities Exchange Commission’s (SEC) aggressive regulation of cryptocurrencies, led by Chair Gary Gensler. He emphasized that if Gensler hadn’t pursued such a strict regulatory approach, Fairshake might not have been established.

“I’m not sure Fairshake would exist. So if there had been a different SEC chair than Gary Gensler…I’m not sure Fairshake would exist. Why did these companies come together and organize and say, ‘This matters’? It’s a reaction to a war on crypto.”

The Rise of Fairshake and Its Mission

According to Garlinghouse, the SEC’s enforcement actions, including over 120 lawsuits against crypto companies such as Ripple Labs, Uniswap, Terraform Labs, Coinbase, Binance, and Kraken, citing violations of securities laws, led to an unexpected unity within the crypto industry. This unity gave rise to Fairshake, which aims to promote a balanced legal framework for blockchain technology to scale and grow in the United States.

Garlinghouse clarified that Fairshake’s mission is not driven by political motives, but rather a desire to create a framework that allows blockchain technology to thrive in the country. This aligns with President-elect Donald Trump’s 2024 campaign manifesto, which emphasized transforming the United States into a global leader in cryptocurrency.

Ripple’s Legal Battle and Expenses

Garlinghouse also revealed that Ripple has spent over $150 million in legal expenses defending its position in a lawsuit centered around the classification of its native token, XRP. The company has been fighting to exempt XRP from registration and disclosure requirements applicable to securities. Garlinghouse took to X to highlight that the CBS News segment did not cover Ripple’s victory, which was a federal judge’s ruling that XRP is not a security.

For more news and updates on the crypto industry, visit Global Crypto News.

Some key points to consider:

  • Fairshake is a political action committee funded by prominent figures in the crypto industry.
  • The committee was created in response to the SEC’s aggressive regulation of cryptocurrencies.
  • Fairshake’s mission is to promote a balanced legal framework for blockchain technology to scale and grow in the United States.
  • Ripple has spent over $150 million in legal expenses defending its position in a lawsuit centered around the classification of its native token, XRP.
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