- Jed McCaleb defends his XRP sales, clarifying transparency to protect community interests despite ongoing criticisms.
- Ripple secures legal victory as SEC drops appeal, strengthening XRP’s future and setting a precedent for digital asset regulations.
Jed McCaleb, co-founder of Stellar, recently addressed ongoing criticisms surrounding his sale of XRP tokens. In light of the recent wave of backlash from the crypto community, McCaleb defended his actions about selling XRP tokens during his departure from Ripple.
I didn’t do that at all. I told the ripple community I was leaving ripple and no longer believed in the project. I did that *before* I sold my XRP. The intent was to let people front run me. The alternative was to sell without telling people. Is that better?
We also gave xrp…— Jed McCaleb (@JedMcCaleb) March 21, 2025
These statements come after years of scrutiny regarding his sale of large quantities of XRP and his role in the Mt. Gox trading platform’s collapse. McCaleb’s comments also coincide with the Ripple community’s celebration of their legal victory over the U.S. Securities and Exchange Commission (SEC).
McCaleb’s Response to Allegations of Harmful XRP Sales
The debate over McCaleb’s involvement with XRP resurfaced when an X user, Cryptoinsightuk, questioned McCaleb’s actions. The user pointed to McCaleb’s aggressive XRP sales and timely exit from Mt. Gox before its hacking incident, suggesting these moves may have harmed the crypto community. Another critic, Jim Knox, accused McCaleb of intentionally selling off his XRP holdings to harm XRP holders.
So @JedMcCaleb founder is $XLM and co-founder of the $XRP Ledger, is creating a space station.
Fair play.
Leaves me with a a lot of thoughts. Obviously $XLM ‘s logo could be seen as a Black hole / space based, so will it be used or is he just passionate?
Jed has clearly been… https://t.co/ThleZwUol8
— Cryptoinsightuk (@Cryptoinsightuk) March 21, 2025
In response to these allegations, McCaleb clarified that his sales were not intended to affect the community negatively. He emphasized that he began selling his XRP before the SEC’s lawsuit against Ripple was filed, and he decided to leave the XRP community public then. McCaleb stated that his transparency allowed XRP holders to act in advance, contrasting his approach with selling without notice.
The conversation also touched on McCaleb’s stake sale in the Mt. Gox exchange, which was infamously hacked in 2014. Some critics claimed McCaleb’s timing, selling the platform before the hack, was suspicious. McCaleb responded by asserting that he sold his share of Mt. Gox well before the attack.
XRP’s Legal Victory and Ripple’s Position
The ongoing battle between Ripple and the SEC has long overshadowed XRP’s role in the market. However, this week saw a development: the SEC dropped its appeal in the case, providing Ripple with a major victory.
The SEC had previously alleged that XRP’s sales violated securities laws, but the case’s resolution marks a huge moment for Ripple and the crypto space. The ruling confirms that the sales of digital assets like XRP do not constitute securities transactions, a ruling that could set a precedent for other tokens in the market.
As per the ETHNews report, Ripple’s CEO, Brad Garlinghouse, discussed the impact of the legal outcome. He acknowledged the frustration of dealing with constant criticism, regardless of whether Ripple held too much XRP or sold too much. He noted that this scrutiny had been a continuous challenge, but the company was now in a better position to refocus on its strategy.
What’s Next for XRP and Ripple?
Ripple seems ready to deal with the post-SEC period by reconsidering its token sale practices. With regulatory clarity emerging, Ripple may reduce its XRP sales to avoid concerns about token oversupply. Whether this shift will lead to greater market confidence remains uncertain, but the company’s recent legal victory gives a strong foundation for strategic adjustments.
These developments point to a possible change in the token’s path for XRP holders. As Ripple regains control of its narrative, it is set to play a more positive role in the market, ensuring the stability and long-term viability of XRP.
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