Brad Garlinghouse, the CEO of Ripple, is facing a new lawsuit over comments he made in a 2017 interview. Garlinghouse stated that he was "very, very long" on XRP, Ripple's cryptocurrency, but later sold millions of XRP on various exchanges. The lawsuit alleges that Garlinghouse's statements were misleading and violated securities laws.

The lawsuit, which was filed in a California federal court, was given the green light by Judge Phyllis Hamilton. The judge dismissed four allegations against Ripple but allowed the claims related to Garlinghouse's statements to move forward. The Securities and Exchange Commission (SEC) has also accused Ripple of conducting an unregistered securities offering worth $1.3 billion by selling XRP.

Ripple's lawyers argue that XRP is not a security and therefore cannot be considered a misleading statement in connection with a security. However, Judge Hamilton ruled that XRP sold to "programmatic" traders, or non-institutional investors, should be considered a security. The case is ongoing, with Ripple's chief legal officer stating that the company is pleased that the court dismissed all class action claims.

The lawsuit against Garlinghouse and Ripple is not the only legal issue the company is facing. The SEC has also accused Ripple of violating securities laws by selling XRP without registering it as a security. Ripple has denied these allegations, stating that XRP is not a security and therefore does not need to be registered.

In conclusion, the lawsuit against Brad Garlinghouse and Ripple highlights the ongoing legal issues surrounding cryptocurrency and securities laws. As the case moves forward, it will be important to watch how the court rules on the