Ripple CEO Commits to Prolonged Legal Fight as SEC Files Appeal

• Ripple CEO Brad Garlinghouse has vowed to fight the SEC’s appeal, despite the significant legal costs incurred during the lengthy battle.
• The SEC’s appeal could challenge previous rulings on institutional and programmatic XRP sales, further prolonging the case.
• Ripple’s legal team is evaluating the possibility of a cross-appeal, while legal experts anticipate the case may not conclude until 2026.

Ripple’s CEO, Brad Garlinghouse, has pledged that his company will continue its legal fight against the U.S. Securities and Exchange Commission (SEC) as long as necessary. On Thursday, Garlinghouse responded strongly to the SEC’s recent appeal, calling it “infuriating” and “misguided.”

The ongoing legal battle centers around XRP, the cryptocurrency issued by Ripple. The SEC has taken issue with Ripple’s classification of XRP, alleging it is an unregistered security. Ripple, however, has continually fought back, with Garlinghouse emphasizing the company’s commitment to standing firm against what he considers an unjustified lawsuit.

Ripple’s Legal Expenses and SEC Appeal Strategy

Ripple has already spent over $200 million on its defense. Despite these high costs, Garlinghouse remains determined to see the case through, expressing frustration at the SEC’s actions. He criticized the agency for acting “without recourse or consequence” and suggested that the motives behind the appeal may go deeper than what is publicly known. He added, “The truth  and the corruption  always comes to light eventually.”

The SEC’s recent appeal follows a series of rulings against them, including a July 2023 judgment distinguishing between Ripple’s institutional and programmatic sales. The appeal could target that ruling or the August court decision where Ripple was ordered to pay $125 million in penalties, significantly lower than the SEC’s original demand of $2 billion.

Ripple’s Confidence in XRP’s Legal Status

Garlinghouse remains confident that XRP’s legal status is already firmly established and that the SEC’s appeal will not change the outcome. Ripple’s Chief Legal Officer, Stuart Alderoty, echoed this sentiment, describing the appeal as “disappointing.” Ripple is now considering whether to file a cross-appeal in response.

Legal expert Fred Rispoli suggested that the case could drag on until early 2026, further extending the timeline of Ripple’s costly legal battle. 

Additionally, Alderoty mentioned that the SEC’s appeal coincided with the departure of Gurbir Grewal, the SEC’s enforcement director. While Grewal’s exit was unexpected, it adds another layer of complexity to the situation as the SEC seeks to continue its challenge.