- Ripple CEO Brad Garlinghouse criticized former SEC Chair Jay Clayton for “hypocrisy” in crypto regulation.
- Clayton suggested the SEC should only pursue cases likely to hold up in court.
- Garlinghouse pointed out that Clayton sued Ripple in 2020, calling it hypocritical.
Ripple CEO Brad Garlinghouse recently criticized former SEC Chair Jay Clayton for “hypocrisy” in his approach to crypto regulation.
In a June interview, Clayton suggested the SEC should only pursue cases likely to hold up in court. But Garlinghouse argued this stance is at odds with Clayton’s decision to sue Ripple in 2020.
“As a reminder, Jay Clayton brought the case against Ripple, me, and Chris Larsen. And left the building the next day,” Garlinghouse tweeted. “The hypocrisy is shocking.”
The high-profile SEC lawsuit alleges the XRP token is an unregistered security, and Ripple raised over $1.3 billion through improper XRP sales. But Garlinghouse contends the agency lacks proof to back up its claims.
Ripple supporters call out Clayton for his hypocrisy
Pro-XRP lawyer John Deaton agreed, slamming Clayton’s “hypocrisy” since the SEC could not cite any precedent to support its arguments.
The scathing criticism comes as Ripple has notched a series of wins in its legal battle, including a July ruling that XRP sales to the general public did not constitute securities transactions.
This led to the SEC dropping charges against Garlinghouse and Ripple co-founder Chris Larsen individually.
Meanwhile, XRP’s price has marched higher, recently touching $0.57—its best level since August—during the Bitcoin ETF-fueled crypto rally.
As the high-stakes trial continues, Clayton’s perceived inconsistencies on crypto rules remain in focus for the embattled defendants.