Internal Ripple Emails from SEC lawsuit Reveal Something Critical

CryptosRus (@CryptosR_Us), a well-known cryptocurrency news account on X, has shared internal emails from Ripple, disclosed in the ongoing SEC lawsuit.

The emails suggest that Ripple promoted the “Bitcoin is controlled by China” narrative. These revelations have sparked debate about the firm’s motives and strategy to position XRP as a dominant cryptocurrency.

Ripple’s Assertions on Bitcoin’s Centralization

According to the emails, in 2018, Ripple CEO, Brad Garlinghouse, publicly stated that Bitcoin is controlled by China.

At the time, the CEO stated that over 50% of the digital asset’s supply was controlled by four miners in China. He questioned whether governments would trust a “Chinese-controlled currency” and implied that Bitcoin’s decentralization was an illusion.

Notably, Ripple also referred to Ethereum as Chinese-controlled, drawing criticism from its creator Vitalik Buterin. This perspective was echoed in Ripple’s legal defense against the SEC’s lawsuit.

The company argued that XRP should not be classified as a security, unlike Bitcoin and Ethereum, labeled as “Chinese-controlled virtual currencies.” Ripple claimed that XRP operates on a more decentralized network, making it less vulnerable to external influence.

Industry Reactions and Criticism

Ripple’s stance has drawn strong reactions from the cryptocurrency community over the years. Buterin criticized the argument many times, stating that Ripple was “sinking to new levels of strangeness” with its claims. Others, such as Coinbase co-founder Fred Ehrsam, dismissed Ripple’s statements as a “last-ditch effort” to save itself from legal troubles.

Additionally, many in the industry have pointed out that while Bitcoin mining has historically had a strong presence in China, the landscape has changed significantly in recent years. The 2021 Chinese mining ban forced many miners to relocate, reducing China’s influence on Bitcoin.

What Does this Mean for Ripple?

The release of these internal emails highlights Ripple’s attempt to shape the narrative around Bitcoin and Ethereum to favor XRP. However, this approach comes with risks. By focusing on Bitcoin’s alleged centralization, Ripple may invite scrutiny over its control of XRP, as the company still holds a significant portion of the token supply.

However, the XRP army still supports Ripple’s actions and XRP. David Gokhshtein, the founder of the crypto news outlet Gokhshtein Media, argued in 2022 that XRP would continue to grow despite the criticism from figures like Buterin.

Ripple also grew significantly since 2018 when these emails were sent and the comments were first made. With the lawsuit near its end, the time may have come to forget past events and work together for a better future for the crypto market in the U.S.

Disclaimer: This content is meant to inform and should not be considered financial advice. The views expressed in this article may include the author’s personal opinions and do not represent Times Tabloid’s opinion. Readers are urged to do in-depth research before making any investment decisions. Any action taken by the reader is strictly at their own risk. Times Tabloid is not responsible for any financial losses.

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