While most of the crypto industry faced real challenges in 2022, developments still looked positive for Ripple Labs and its CEO Brad Garlinghouse.
After being sued by the Securities and Exchange Commission (SEC) in December 2020, the company faced increasing difficulties the following year. This year, on the other hand, he was able to record several successes. Here are the top 5 crypto earnings for Ripple and CEO Brad Garlinghouse.
Ripple onboards 4,000 NFT artists via Creator Fund
Last year, Ripple raised a $250 million development fund to expand NFT use cases on its ledger. The company said the fund would provide targeted support to developers, brands and markets to develop NFTs on XRPL.
The project reportedly had around 4,000 artists, musicians, game designers, and creatives as of March this year. This also includes Writer and producer Justin Bua, filmmaker Steven Sebring and xPunksJust to name a few.
Marketplaces and creative agencies such as NFT PRO, Ethernal Labs and onXRP helping to optimize the NFT on XRPL experience for users. Ethennal Labs CEO and Founder Nick Rose said:
“This partnership allows us to strengthen the Web 3 ecosystem by paving the way for cross-chain interoperability and bringing NFTs and other digital assets to as many people as possible.”
Hinman documents released
In October, Ripple scored a major victory in its ongoing SEC case. The court eventually forced the SEC to release documents the crypto firm had requested six times. The so-called Hinman documents revealed the SEC’s comments on a speech by former Corporate Finance division head William Hinman.
As Hinman said in his speech, he viewed Ethereum as security. However, his later understanding of blockchain-based transactions led him to a different belief. Accordingly, current offers and sales of Ether do not constitute corporate actions.
Ripple has sought to disclose this information, which the company says shows the SEC is aware of Hinman’s views. Since Ripple has similar functionality to Ethereum, the blockchain company would like to use this statement as an argument against classifying its token as a security.
Ripple’s General Counsel Stuart Alderoty announced the development on October 20 on Twitter. Garlinghouse then shared the tweet, chastising the SEC for its shame in the process.
Minority stake in XRP
In its third quarter market report, Ripple announced that it had reached an important milestone. Therefore lie the number of XRP tokens held by the company is less than 50 billion, less than half of the total outstanding of 100 billion. It also allayed concerns about over-centralization of assets.
Additionally, Garlinghouse pointed to the exits from Ripple wallets as a sign that clients were getting more value from the XRP ledger. However, the The company’s total revenue for the third quarter was just $310.68 million, down from $408.90 million last year..
Global growth and European expansion
With the SEC litigation effectively crippling Ripple’s operations in the United States, the company was forced to expand overseas. As a result, most customers and revenue that year came from countries other than the United States.. As Garlingshouse said:
“Outside of the United States, we are growing by leaps and bounds. A whopping 95% of our clients are overseas.
In an effort to expand into European markets, the company has announced that it will apply for a Virtual Asset Service Provider (VASP) license in Ireland. This would allow Ripple to offer its services across Europe under MiCA legislation.
Final court filing
However, the most important development for the company would be the outcome of the litigation with the SEC. With both parties having already filed their final court documents for this year, the case could to be completed in the first half of next year.
Shortly after the Hinman documents were released, both parties filed separate motions for summary judgment. If so, a judge decides the case without a hearing.
Both parties therefore requested that the other party’s request be dismissed. As the SEC explained, Ripple’s request should be dismissed because it undisputed evidence of the illegal sale of unregistered securities. The company, on the other hand, claims the SEC would have no legal basis to insist on registering XRP as a security.
This month, Ripple filed a response to the Commission’s appeal against its motion for summary judgment. According to Alderoty, this was the company’s last filing in court. Garlinghouse congratulated his team:
“Ripple was strong and withstood the onslaught of the SEC.”
Do you want to talk to like-minded people about analysis, news and developments? Then join our Telegram group here.
All information contained on our website has been researched to the best of our knowledge and belief. Journalistic contributions are for general information purposes only. Any action taken by the reader based on information found on our website is entirely at their own risk.