KEY POINTS
- $XRP was the world's second top digital asset by market cap in 2018
- The digital currency declined over the years, battered by Ripple's legal clash with the SEC
- Garlinghouse believes the future is bright with Trump retaking the White House
Four years since the U.S. Securities and Exchange Commission (SEC) filed a lawsuit against fintech firm Ripple, the world's largest holder of the XRP token is hopeful that the digital coin will see better days under a new Donald Trump government.
Ripple CEO Brad Garlinghouse has been posting about what a Trump administration could mean for the broader cryptocurrency industry since Tuesday night, but on Thursday, he took the time to recognize the XRP community and projected a brighter future for what used to be a token that was only second to Bitcoin in value.
$XRP Army's Ups and Downs
"A lot has happened since XRP was the 2nd most valuable digital asset. It's been – at times – a frustrating journey," Garlinghouse admitted. As of November 2024, XRP is Top 7 on CoinGecko's list of the most valuable crypto assets.
I’ve shared some thoughts on what the Trump administration could mean for crypto and wanted to also recognize the XRP family’s patience and unwavering support.
— Brad Garlinghouse (@bgarlinghouse) November 7, 2024
A lot has happened since XRP was the 2nd most valuable digital asset. It’s been - at times - a frustrating journey.
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It was 2018 when XRP quickly rose to overtake Ethereum (ETH) and Bitcoin cash to become the world's second largest cryptocurrency by market value. At the time, the XRP Ledger was touted as a significant challenger to the Bitcoin chain due to its faster transaction speeds, and its native token was fast becoming an alternative for many early crypto adopters.
By December 2020, Ripple was in hot waters. The SEC filed a lawsuit against Ripple and its top executives Garlinghouse and co-founder Chris Larsen for allegedly selling unregistered securities, that is, XRP tokens. Trump was the president at the time.
Since then, the XRP Ledger's growth and the XRP token's price has seen slow progress as Ripple worked to stand against the SEC's claims.
By 2021, President Joe Biden appointed Gary Gensler into the SEC chairmanship. He picked up the case left behind by his predecessor and pursued Ripple to kickoff a four-year back-and-forth legal battle.
In 2023, Judge Analisa Torres ruled that XRP isn't a security when sold on crypto exchanges, marking a significant victory in Ripple's battle to get XRP back on its feet.
The SEC has since filed an appeal to overturn some of the provisions in the said ruling, but many industry observers, even legal experts, said the financial regulator was making a huge mistake since appealing won't change XRP's status as a non-security.
As expected of Ripple, the company filed a cross-appeal, promising to continue defending XRP's legal status and exposing the SEC for its alleged regulatory "overreach."
A Tribute to the $XRP Army
The XRP Army, basically the community behind the XRP token, has, at times, expressed frustration over the digital coin's slow bounce back since 2020. Garlinghouse acknowledged that it hasn't been an easy road. He recognized "the XRP family's patience and unwavering support" through the years.
One user responded to the Ripple CEO's sentiments, saying that "the opportunity cost to hold XRP was enormous," seemingly referring to the four-year wait for the token's holders to see prices spike significantly while other crypto tokens were already pumping hard.
Another user acknowledged that "the last 3 years have been soul crushing" for her, being a 6-year veteran in the XRP community, but she remains hopeful of the token's bright future.
A Wind of Change for $XRP?
Garlinghouse, who has repeatedly called out Gensler over the years for his leadership that kicked off a string of lawsuits against crypto firms, said that four years since the SEC's lawsuit, "now finally we see a light at the end of the tunnel as these external (frankly unnatural and manipulative) market factors fade."
For the crypto executive, change is coming. "The tides are shifting, headwinds are turning to tailwinds, and the opportunity for those of us who believe in the future for XRP is enormous!" he concluded.
Notably, Trump has not specifically talked about other cryptocurrencies besides Bitcoin. Also, Larsen made a huge XRP donation to the campaign of Vice President Kamala Harris, drawing the ire of the XRP Army.
On the other hand, Trump has also vowed support for the broader crypto space, raising hopes among XRP holders that the Trump administration will usher in a "new beginning" for the community.
