According to a CNBC report on May 8, Ripple CEO Brad Garlinghouse discussed the regulatory hurdles his company is facing during the Dubai Fintech Summit.
Garlinghouse revealed that Ripple has spent a whopping $200 million defending itself against the U.S. Securities and Exchange Commission’s (SEC) lawsuit, which he claims “doesn’t make a lot of sense” from its inception.
This was the first time Garlinghouse has publicly disclosed the cost of the legal conflict, and he argues that the U.S. is “definitely stuck” when it comes to regulation.
In response to the regulatory landscape in the U.S., Garlinghouse announced via Twitter that Ripple plans to expand to Dubai. He highlighted that the MENA region, where 20% of Ripple’s customers are based, has “clear regulatory regimes” and is on its way to becoming a global financial hub.
Ripple has been facing regulatory challenges since December 2020, when the SEC accused Ripple and its executives of breaching securities regulations by selling XRP tokens.
Ripple isn’t the only company attempting to challenge the SEC, with cryptocurrency exchange Coinbase also preparing to take on the regulator after receiving a Wells notice. It remains unclear whether Ripple’s or Coinbase’s challenge will succeed.
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