Ripple’s Legal Battle: What 60 Minutes Didn’t Tell You About XRP

Brad Garlinghouse, the CEO of Ripple Labs, has sharply criticized 60 Minutes for omitting a key ruling in favor of XRP during his December 8 interview. The segment, which focused on crypto’s role in the 2024 U.S. elections, did not mention a crucial 2023 federal court decision stating that XRP is not a security in certain cases.

• Ripple’s CEO Brad Garlinghouse criticized 60 Minutes for omitting the July 2023 ruling that XRP is not a security in programmatic sales.

• The legal battle with the SEC remains unresolved, with appeals pending.

• XRP saw significant gains after the ruling, fueled by relistings and ETF speculation.

• Ripple’s political contributions highlight the industry's fight for regulatory clarity.

• The segment reflects ongoing tensions between crypto supporters and critics.

The 60 Minutes episode covered Ripple’s involvement in funding Fairshake, a political action committee supporting pro-crypto candidates. It also featured former SEC official John Reed Stark, who claimed that XRP and other cryptocurrencies are securities, aligning with SEC Chair Gary Gensler's stance.

However, Garlinghouse took to X (formerly Twitter) post-broadcast, calling out the show for leaving out the July 2023 ruling by Judge Analisa Torres. The judge found that XRP's programmatic sales on digital exchanges did not constitute securities transactions. “60 Minutes shockingly left out that a Federal Judge ruled that XRP is not a security,” Garlinghouse posted.

Source: Brad Garlinghouse on X

A Heated Exchange

The omission sparked further debate when Stark reiterated his view on XRP’s status, saying, “Judges have said over and over again that these are securities.” Garlinghouse responded on X, calling Stark “Gensler’s shill” and expressing frustration over what he saw as misleading coverage.

Stark countered, denying any affiliation with Gensler and standing by his remarks that crypto lacks utility. “It has no utility. It’s just pure speculation,” Stark stated during the segment.

The omission comes in the context of Ripple’s ongoing legal battle with the SEC, which began in December 2020. The agency accused Ripple of conducting a $1.3 billion unregistered securities offering via XRP sales. While the July 2023 ruling was a partial win for Ripple, the company was still found liable for $125 million in fines related to institutional sales. The SEC’s appeal and Ripple’s cross-appeal have left the case unresolved.

Garlinghouse highlighted that the ruling’s omission misrepresented the current legal standing of XRP. He also stressed that Ripple’s contributions to pro-crypto candidates aim to push for regulatory clarity, which he believes has been lacking under Gensler’s leadership.

XRP/USDT price chart | Source: TradingView

XRP is trading around $2.23, having reached a multi-year high of $2.85 recently, with a market cap of around $126 billion.

• Resistance Levels: Key resistance lies at $2.50 and the psychological barrier of $3.00.

• Support Levels: Immediate support can be found at $2.00, with a stronger floor at $1.80.

Technical Indicators

1. Moving Averages (MA):

• 50-Day MA: Bullish trend confirmed as XRP trades above its 50-day moving average.

• 200-Day MA: Indicates long-term bullish momentum, with potential for higher gains.

2. Relative Strength Index (RSI): Currently around 60, suggesting XRP is in bullish territory but not yet overbought.

3. Volume Trends: Recent trading volume spikes indicate strong buying interest, especially following political and legal news.

Despite the controversy, XRP has shown resilience. Following the court ruling, XRP briefly climbed to become the third-largest cryptocurrency by market cap. The token’s relisting on platforms like Robinhood and increased trading activity from South Korea and Coinbase whales have further bolstered its standing.

Additionally, speculation about potential XRP ETFs has kept investor sentiment optimistic. Several asset managers have filed applications with the SEC to launch XRP-based exchange-traded products.

Short-Term Outlook

• Bullish Scenario: If XRP holds above $2.00 and breaks through the $2.50 resistance, a retest of the $3.00 level is likely. Positive news regarding the SEC appeal withdrawal or further political support could fuel a rally. Additionally, the launch of Ripple’s RLUSD stablecoin could boost XRP adoption by enhancing liquidity and cross-border payment solutions. Increased utility through RLUSD may attract institutional investors and drive further price gains.

• Bearish Scenario: Failure to hold $2.00 support may see XRP decline to $1.80 or even $1.50, particularly if the SEC pursues its appeal.

Long-Term Outlook (2025)

Several factors could drive XRP's price toward new highs:

1. Regulatory Clarity: A favorable resolution of the SEC case under a potentially pro-crypto administration could remove the legal overhang.

2. Institutional Adoption: Potential XRP ETFs and increased institutional interest could significantly boost demand.

3. Cross-Border Payments: Ripple’s expanding partnerships in global remittances may drive real-world utility for XRP.

Prediction: Based on current trends and anticipated regulatory shifts, XRP could reach between $5.00 and $10.00 by 2025. If institutional adoption accelerates and regulatory clarity is achieved, a price target of $100 is not entirely out of reach.

Read more: Could $XRP Reach $3 Ahead of XRP ETF Approval?

The future of Ripple and XRP is deeply intertwined with the evolving regulatory and political landscape in the United States. Brad Garlinghouse's appearance on 60 Minutes highlighted the crypto industry’s growing influence in the 2024 elections. Ripple, along with other crypto firms, has collectively invested over $144 million into Super PACs supporting pro-crypto candidates across the political spectrum. 

Garlinghouse emphasized that these contributions aim to secure fair regulatory treatment, noting, “If we had clear rules of the road, Fairshake wouldn’t need to exist.”

The clash between Garlinghouse and former SEC official John Reed Stark during the 60 Minutes segment mirrors the broader debate over crypto’s legitimacy. While critics like Stark dismiss crypto as speculative and risky, Garlinghouse and other supporters liken the current skepticism to the early days of the internet. 

“Many were wrong about the internet, and they’re wrong about crypto,” he argued, pointing to increasing adoption by major financial institutions.

XRP’s future largely depends on the SEC’s ongoing appeal and potential shifts under a new U.S. administration. Pro-crypto sentiment is rising, particularly following Donald Trump’s recent support for digital assets and calls to replace SEC Chair Gary Gensler. A favorable regulatory environment could significantly boost XRP’s prospects, potentially clearing the path for institutional adoption and new financial products like XRP ETFs.

The outcome of Ripple’s legal battle with the SEC could set a precedent for the entire crypto industry. If XRP is definitively ruled not to be a security, it may pave the way for clearer regulations and greater market confidence. As Ripple continues to fight for fair recognition, the debates over regulation, media representation, and crypto’s role in the financial system are set to intensify.