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Cardano Founder Questions SEC’s Approach In XRP Lawsuit

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Charles Hoskinson, the founder of Cardano, has weighed in on the contentious XRP lawsuit, voicing his belief that XRP should not be classified as a security. In a detailed recording late Sunday, Hoskinson delved into the intricacies of the case and raised concerns about the approach taken by the U.S. Securities and Exchange Commission (SEC) in regulating cryptocurrencies.

Charles Hoskinson Clarifying His Position on XRP Lawsuit

Hoskinson began by acknowledging two separate but related concerns in the ongoing XRP lawsuit. The first issue revolved around whether Ethereum had received a so-called “free pass” from the SEC, indicating that it had escaped scrutiny as a security. The second concern centered on the possibility that individuals connected to Ethereum had influenced the SEC’s decision to target XRP.

However, Hoskinson was reluctant to delve deeply into the “free pass” aspect of the case, citing the difficulty of proving or disproving such allegations. He likened this situation to other contentious matters, notably the origin of COVID-19, where investigations seemed to be noticeably absent.

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Regarding the allegation that individuals associated with Ethereum had influenced the SEC’s actions against XRP, Hoskinson called for concrete evidence. He maintained that a “smoking gun” in the form of emails, audio recordings, video footage, or whistleblower testimonies was needed to substantiate such claims. In the absence of this evidence, he referred to it as an “unsupported conspiracy.”

He also reiterated that XRP should not be classified as a security, stating, “Charles has never believed that XRP is a security and there are things going back years where I’ve said that.”

Playful Exchange with XRP Community

That said, despite his support for XRP, Hoskinson’s relationship with the XRP community has been somewhat tumultuous. On Sunday, he teased the XRP community about their ongoing ETHGate theories, playfully stating that he enjoys stirring up the ‘XRP ETHGate Hornet’s nest’ with memes.

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In response the XRP community slammed the Cardano founder, suggesting his involvement in the alleged ETHGate corruption. However, Hoskinson swiftly dismissed these claims as “conspiratorial thinking” emphasizing his departure from Ethereum in 2014 and his lack of involvement in decisions related to Ethereum’s regulatory status.

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Newton Mbogo is a crypto and DeFi specialist. He has a B.A Hons in Law from Kabarak University, where he studied complex economic, legal, and ethical theory relevant to the FinTech landscape. Newton has a particular interest in decentralization and privacy blockchains, as they directly relate to our human rights and flourishing.

The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.

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