Ripple, The Movie: From Scrappy Startup To LegalBattlefront – By David Schwartz and ChatGPT
Ripple has been in the headlines for about 2 years now due to the lawsuit with the SEC. The SEC vs. Ripple is an open court case that could decide the future of cryptocurrency regulations and determine if it is a security or a commodity.
In 2020, the U.S. Securities and Exchange Commission (SEC) alleged that Ripple, the blockchain developer and creator of the XRP cryptocurrency token, raised more than $1 billion in 2013 through the sale of XRP in an unregistered security offering to investors. Ripple, relying on the previous comments of an SEC director to support its case, argues that XRP should not be treated as a security.
This litigation is of relevance since it set a legal precedent that results in similar cryptos being categorized as securities as well. Hence, the case against Ripple is crucial for all stakeholders inside the crypto industry, including investors, blockchain innovators, and policymakers globally.
David Schwartz takes a dig at Chat GPT
David Schwartz, the CTO of Ripple in a recent tweet, replied to a question that was asked by a user Christopher Cassidy about the photo on top of their Twitter page. To which Schwartz replied that he asked ChatGPT to write a one-sentence description of the central conflict (called a ‘logline’) in Ripple, The Movie and that’s what it said.
The plot of “Ripple, The Movie,” as the blockchain creator has dubbed it, sounds like this: “When a scrappy financial startup takes on a web of corruption and betrayal to bring instant payments to the masses, they learn that the cost of disrupting the status quo is higher than they could ever have imagined, forcing them to decide between their vision and their survival.”
What is not evident from the logline is that ChatGPT refers to Ripple as a scruffy start-up. The company is performing well and rarely qualifies as such based on the most recent news and reports, it may be argued. So it’s likely that the artificial intelligence chose to present the story in this way to create drama and portray Ripple as a sort of David taking on the corrupted regulatory Goliath.