Ripple’s recent legal triumph, which established XRP as a nonsecurity asset, has sparked a fiery discourse within crypto circles. One of the most vocal critics of the court’s verdict is U.S. Congressman Brad Sherman, a notable advocate for the Securities and Exchange Commission (SEC). His views, however, have been met with substantial opposition from the digital asset community.
Congressman Sherman’s Stance
Sherman expressed his disbelief at the court’s ruling, branding it as “absurd.” His staunch belief is that XRP is invariably a security, regardless of the court’s ruling that it can oscillate between being a security and not, depending on the situation.
Binary View of XRP
Sherman’s insistence that XRP is exclusively a security asset has ignited fierce pushback from the cryptocurrency community. Detractors argue that his comments reveal an incomplete comprehension of the intricacies of digital assets and their manifold applications.
Sherman’s Controversial Comparison
Adding fuel to the flame, Sherman drew a contentious parallel between Satoshi Nakamoto, the anonymous founder of Bitcoin, and Charles Ponzi, the notorious swindler renowned for the Ponzi scheme. This analogy is viewed as a further demonstration of Sherman’s skeptical attitude toward cryptocurrencies.
Ripple’s Legal Victory
Despite the controversy, Ripple’s court win is seen as a crucial victory for the company in its ongoing litigation against the SEC. The SEC had charged Ripple with conducting an unregistered securities sale by disposing of XRP. However, the court ruled that XRP possesses both security and nonsecurity features, which complicates its categorization under existing securities legislation.
