Senior venture capitalist and entrepreneur Jason Calacanis tweeted about the popular altcoin XRP. He stated that XRP, the cryptocurrency associated with blockchain company Ripple, is “clearly a security.” In his tweet, Calacanis criticized the blockchain company for failing to register the token as a security. He argued that this would be a simple process that other industry players followed suit. Here are the details…
Calacanis says altcoin XRP is a security
According to Jason Calacanis, Ripple could have avoided litigation if it had registered XRP as a security from the start. Calacanis’ tweet fuels the fire of Ripple’s legal battle with the US Securities and Exchange Commission (SEC). As we reported on Kriptokoin.com, the regulatory agency accused the San Francisco-based Blockchain company of making an unregistered security offering through the sale of XRP. Entrepreneurial angel investor Jason Calacanis is the latest to claim that XRP is actually a security.
XRP is obviously a security
It would have cost little for the Ripple team to have registered it as a security and played by the rules —- like everyone else in the industry does all day long $xrp pic.twitter.com/Yxga686tBZ
— @jason (@Jason) May 9, 2023
The serial investor expressed confidence in this claim today while commenting on Ripple’s spending in the US SEC lawsuit. “XRP is clearly a security,” Calacanis said in a tweet. According to Calacanis, the best approach for Ripple would have been to go and register XRP as a security with the SEC. He believes this move will be “much less costly” and will likely help them avoid litigation costs. Calacanis’ comments came from a recent statement by Ripple CEO Brad Garlinghouse while speaking to CNBC.
Garlinghouse revealed that Ripple will spend $200 million to fight the SEC in the long-running lawsuit until the lawsuit is settled. Calacanis believes this can be avoided. He said that Ripple should register XRP with regulators “just like everyone else in the industry.” This statement caused criticism. Because it is known that most crypto organizations do not register their tokens as securities because they cannot receive any information from the SEC.
Industry leaders respond to Calacanis
One of the respondents to Calacanis was Mike Belshe, co-founder and CEO of crypto asset company BitGo. Belshe claimed that the investor’s comments stemmed from an “ignorant view”. “Before making such nonsense statements, try going and registering the crypto as a security,” Belshe said.
Ignorant view. Go try to register a digital asset as a security before you make ridiculous statements like this.
— Mike Belshe (@mikebelshe) May 9, 2023
Jason Calacanis; He has invested in some of the most successful startups of recent years, such as Uber and Tumblr. So, he is a name known for his angel investing skills. Despite this, some industry leaders believe he is ignorant when it comes to securities laws. Jacob Franek, co-founder and former COO of Coin Metrics, says:
It’s worth saying again and again – the asset itself, XRP, is unlikely to be a security. Your job is to literally invest. You should really try to educate yourself on securities laws.
It bears repeating over and over — the asset itself, XRP, is highly unlikely to be a security.
Your job is literally investing. You should try actually educating yourself on securities laws. https://t.co/41LZnEtWQ8
— Jacob Franek (@panekkkk) May 9, 2023
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