Baker's TakeRipple Nearly Shut Down Rather Than Fight SEC, Garlinghouse Admits in University Talk
By
Mr Bagel
Ripple CEO Brad Garlinghouse disclosed that the company seriously considered shutting down entirely after the U.S. Securities and Exchange Commission filed a lawsuit against it in 2020, according to multiple reports. Speaking at the KU School of Business, Garlinghouse described a moment when he and co-founder Chris Larsen weighed winding down the firm and distributing its XRP holdings directly to shareholders before ultimately deciding to fight the case (Coinfomania, Crypto Briefing, Coinpedia).
"Ripple once weighed shutting down and handing XRP to shareholders, CEO says"
This revelation from CoinSpectator highlights just how close the company came to dissolving rather than contesting the SEC's allegations. Garlinghouse characterized the dilemma as a choice between walking away or battling a government he described as having overwhelming advantages.
"infinite power and resources"
Coinpedia reported that Garlinghouse framed the decision as deeply difficult, pitting a small company against a federal agency with seemingly limitless capacity to pursue litigation. He contrasted XRP's design for fast, low-cost payments with Bitcoin's purpose, reflecting on the emotional and financial toll the legal battle exacted on Ripple (Coinpedia).
Crypto Briefing noted that the lawsuit and Ripple's response have reshaped crypto regulations globally, influencing token sales, exchange listings, and how regulators approach digital assets. Garlinghouse's account, also covered by ShortSingh and cryptonews.net, underscored that the eventual choice to fight rather than surrender XRP to shareholders set a precedent that continues to reverberate across the industry.
The reporting
11 outlets covered this story. Each links to the original.
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