XRP News Today: Ripple Political Donations to Harris Spark Debate as Ex-SEC Attorney Clarifies Lawsuit Origins

Recent developments in the ongoing legal battle between Ripple and the U.S. Securities and Exchange Commission (SEC) have sparked renewed debate among XRP holders and cryptocurrency community members. The controversy centers on Ripple’s political affiliations and whether its actions align with the interests of XRP investors. Concerns have resurfaced following disclosures about significant political donations made by Ripple’s leadership, particularly to Kamala Harris’ 2024 presidential campaign. CEO Brad Garlinghouse’s public acknowledgment that the company is “closing the chapter” on the SEC lawsuit under the Trump administration has further fueled speculation about the influence of political dynamics on the case’s resolution.

The debate intensified as community members highlighted Ripple’s $11 million contribution to Harris’ campaign by former co-founder Chris Larsen, a top donor from the crypto industry. Critics argue that this support contradicts Ripple’s public stance as a pro-crypto entity, especially given Donald Trump’s more favorable position toward cryptocurrencies. Some XRP holders have expressed frustration, with one user suggesting selling XRP if it reaches $3.5 and shifting to Bitcoin if it hits $125,000, reflecting broader discontent over perceived misalignment between Ripple’s strategies and investor interests.

Former SEC attorney Marc Fagel addressed the controversy, clarifying that the enforcement action against Ripple was initiated under the Trump administration during Jay Clayton’s tenure as SEC Chair. He emphasized that Gary Gensler, who succeeded Clayton, had no role in launching the lawsuit. Fagel’s comments aimed to dispel claims that the case was politicized under Biden or Gensler, noting that the investigation predated Gensler’s appointment and was concluded to avoid delays during leadership transitions. This distinction is critical, as it challenges narratives portraying the lawsuit as a partisan effort against Ripple.

Ripple’s position remains complex. While Garlinghouse has framed the lawsuit’s potential resolution as a strategic win, critics question whether the company’s political donations to pro-crypto figures like Trump might have influenced outcomes. The firm’s dual support for Harris and post-election engagement with Trump-aligned initiatives has drawn accusations of inconsistency, with some arguing that Ripple prioritizes regulatory favor over community cohesion.

The situation underscores broader tensions between corporate political strategy and investor trust in the crypto sector. As the SEC’s case awaits final resolution, the debate over Ripple’s alignment with XRP holders highlights the challenges of navigating regulatory uncertainty while maintaining community confidence. The outcome could have lasting implications for how crypto companies balance political engagement with their user base’s expectations.

[1] [Ripple vs SEC or XRP Holders? Ex-SEC Answers Buzzing Question As Case Awaits Final Whistle] [https://timestabloid.com/ripple-vs-sec-or-xrp-holders-ex-sec-answers-buzzing-question-as-case-awaits-final-whistle/]