Ripple CEO Reveals Near-Shutdown Plan Amid $150M SEC Lawsuit

Ripple's CEO Brad Garlinghouse revealed that he and co-founder Chris Larsen considered shutting down the company after the SEC lawsuit in 2020. The agency alleged that Ripple had sold XRP as an unregistered security, threatening its business model and ability to operate in U.S. markets.

The legal battle cost the company approximately $150 million over four years, a significant financial toll for any firm. Garlinghouse described fighting the government as 'betting the company' against an adversary with 'infinite power and resources.'

Judge Analisa Torres ultimately ruled that XRP itself is not a security, a landmark finding that benefited both Ripple and the broader crypto market. The case settled in May after new SEC leadership took a more accommodating approach to crypto.