Ripple CEO Criticizes Former SEC Chair for Hypocrisy and Abuses of Power

Brad Garlinghouse, Ripple’s CEO, has openly criticized Jay Clayton, the former SEC Chairman, accusing him of hypocrisy and power abuses. Garlinghouse’s remarks followed Clayton’s comments on CNBC about the SEC’s litigation approach, emphasizing the need for judicial scrutiny.

Garlinghouse expressed his frustration, noting Clayton’s words made his “blood boil” and pointed out Clayton’s inconsistency, highlighting the 2020 lawsuit initiated against Ripple under his leadership. The legal action claimed XRP was a security, implicating Ripple’s top executives in raising over $1.3 billion through its sales.

“Jay Clayton brought the case against Ripple, me, and Chris Larsen. And left the building the next day,” Garlinghouse stated, calling for accountability and criticising media outlets for not challenging Clayton.

John Deaton, a pro-XRP lawyer, echoed Garlinghouse’s sentiments, labeling Clayton a “total fraud” and accusing him of using lawsuits as an intimidation tactic. He emphasized the SEC’s struggle to prove its securities allegations against XRP, even as the digital asset faced sweeping claims. Deaton criticized Clayton’s post-SEC advisory role to One River, highlighting the conflicts of interest due to his law firm’s connections to Ethereum through Consensys representation.

Amidst the legal battles, Ripple’s XRP showcased resilience, reaching $0.57, its highest value since August, propelled by a Bitcoin ETF-driven bull run. The value surge followed significant legal victories for Ripple, including a July ruling declaring XRP sales to the public were not a security, leading to dropped charges against Garlinghouse and co-founder Chris Larsen.