XRP Holders In Big Expectations As U.S. Senate Hosts Ripple CEO

The U.S.

Senate Banking Committee has scheduled a hearing focused on cryptocurrency market structure, with Ripple CEO Brad Garlinghouse set to testify alongside other key industry representatives.

The session is part of a broader effort to define the regulatory framework for digital assets in the United States.

The hearing will be held on Wednesday, July 9, at 10:00 a.m.

ET, as reported by journalist Eleanor Terrett .

It will examine new legislative proposals introduced by Senators Tim Scott, Cynthia Lummis, Bill Hagerty, and Thom Tillis, all Republicans , who aim to establish clearer distinctions between digital assets classified as securities and those regarded as commodities.

Proposed Legislation Seeks Regulatory Clarity The legislation seeks to eliminate ambiguity in how federal agencies regulate cryptocurrencies.

Under the current system, the Securities and Exchange Commission (SEC) governs securities, while the Commodity Futures Trading Commission (CFTC) is responsible for commodities.

However, many tokens, such as XRP, have fallen into regulatory limbo, facing inconsistent classifications from different government bodies over time.

The proposed bill outlines specific criteria to determine whether a digital asset should fall under the SEC or CFTC’s jurisdiction.

Brad Garlinghouse, the head of Ripple Labs, will join other prominent figures expected to testify at the hearing, including Blockchain Association board member Summer Mersinger, Chainalysis CEO Jonathan Levin, and Paradigm researcher Dan Robinson.

Their testimonies are expected to provide insight into the industry’s experiences with regulatory fragmentation and its impact on innovation and growth.

Background on Ripple and Regulatory Conflict Garlinghouse’s inclusion in the hearing comes amid continued legal disputes involving Ripple and the SEC.

Attorney John Deaton, who represents tens of thousands of XRP holders, has underscored Ripple’s long-standing interactions with various federal agencies as evidence of the regulatory confusion that persists in the sector.

According to Deaton, Ripple representatives began meeting with federal entities such as the Federal Reserve , SEC, and U.S.

Treasury as early as 2013 to explain how XRP and its underlying ledger function.

In 2014, the Government Accountability Office (GAO) identified XRP as a “virtual currency,” further adding to the mixed government positions on the token.

In 2015, Ripple agreed to comply with banking laws under the Financial Crimes Enforcement Network (FinCEN) after paying a penalty.

Despite this settlement and subsequent information-sharing arrangements between FinCEN and the SEC, the regulatory status of XRP remained unresolved.

We are on X, follow us to connect with us :- @TimesTabloid1 — TimesTabloid (@TimesTabloid1) June 15, 2025 In 2018, SEC enforcement lawyers reviewed XRP under the Howey Test but chose not to pursue enforcement action, as noted in federal court records.

That same year, Ripple executives, including Garlinghouse, engaged directly with SEC officials in hopes of obtaining regulatory guidance.

However, no violations were communicated during those discussions.

Conflicting Government Positions on XRP Further compounding the issue, the Financial Stability Oversight Council (FSOC) published a report in 2019, co-signed by the heads of both the SEC and CFTC, that referred to XRP as a virtual currency.

Coinbase, one of the largest U.S.-based exchanges, also assessed XRP under its legal framework and moved forward with listing it after receiving no objection from the SEC.

MoneyGram, a major financial services firm, also disclosed in a 2019 SEC filing that it would use XRP for cross-border transactions.

Deaton noted that while the SEC was aware of MoneyGram’s intent to sell XRP on secondary markets, it did not intervene.

Despite these precedents, the SEC filed a lawsuit against Ripple in December 2020, alleging that all XRP sales since 2013 constituted unregistered securities offerings.

Given the conflicting interpretations from multiple agencies, including FinCEN, FSOC, and the SEC, Garlinghouse’s testimony is expected to highlight the need for a unified and transparent regulatory framework.

Industry participants hope the hearing will serve as a turning point in establishing consistent standards for classifying and overseeing digital assets in the U.S.

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Senate Hosts Ripple CEO appeared first on Times Tabloid ..