Recently, Ripple CEO Brad Garlinghouse and Michael Arrington, partner of Arrington XRP Capital, appeared on stage with Techcrunch editor Mike Butcher at Techcrunch's Disrup conference in San Francisco. The trio discussed SEC, crypto-libertarians, Bitcoin [BTC] and resistance to Ripple and XRP. Arrington also talked about his decision to choose XRP for his hedge fund project
Speaking of the Securities and Exchange Commission [SEC] and XRP speculations as security controlled by Ripple, host Mike Butcher asked Garlinghouse what would have happened "if the SEC decided to declare XRP a security?"
In response, Garlinghouse first started to define what security really means.
"Security is something that represents ownership in a company that gives you dividend rights, gives you rights to governance, things like that."
The CEO also said that "XRP and Ripple are two separate things." Leading by example, Ripple said has many shareholders who include Google Ventures and also several banks that have invested, and own shares in Ripple, the company.
"When you purchase XRP, this does not do it We do not give you any right on the profits or ownership of Ripple, the company. "
According to him, there are more empty spaces between the SEC and Ripple.Also, he said that the amount of misinformation on the particular subject was profound.
Also, he spoke of the time when the company hosted a all hands a few months ago, where they discussed the fact that even if Ripple were to close tomorrow, the XRP register will continue to operate alone Brad said:
"So if XRP is a security, it's a security of what?"
He also talked about Coinbase and XRP, saying that if a company has data that could help influence the price, then perhaps that is more akin to security, according to Brad, the irony of the situation here is that Coinbase is one of XRP's main drivers of inflation, and it has also explained that there are rumors that Coinbase will list XRP or not, and raised a question by saying:
"So it means that XRP is security of Coinbase or Ripple? "
He concluded the discussion stating that XRP is not a security and that they had obvious facts on their side and he was quite accurate. Over time, he believes it will become clearer and therefore does not spend much of his time worrying about it.