Ripple Pressed to Demand Government Disclosure of Epstein-Linked Influence Over XRP

Dr. Russell McGregor has urged Ripple to demand the release of government records relating to Epstein–linked influence on early crypto policy targeting $XRP.

The release of the Epstein files has reignited controversy within the crypto community, particularly around $XRP. A viral email sparked debate over whether the disgraced financier may have influenced early crypto regulations that negatively affected Ripple, $XRP, or Stellar.

Key Points

• Dr. Russell McGregor says the Epstein files raise questions about possible undisclosed efforts targeting $XRP.
• He urges Ripple to seek full disclosure of any Epstein-linked influence on early crypto policy.
• Ripple CTO Emeritus David Schwartz believes the controversy likely runs deeper.
• Some community members doubt Ripple will pursue the issue aggressively due to its ties with the U.S. government.

Blockstream Co-Founder Kicks Against Investment in Ripple and Stellar

This speculation gained momentum after emails surfaced showing Blockstream co-founder Austin Hill urging Jeffrey Epstein and Joichi Ito to withdraw or limit funding for Jed McCaleb–linked projects, notably Ripple and Stellar.

In a July 2014 email titled “Stellar isn’t so stellar,” Hill labeled both companies harmful to the industry. He also argued that backing them would damage crypto’s image, and proposed discussing ways to “deal” with the issue. Consequently, the correspondence revived debate over ideological rifts in early crypto circles.

Ripple Must Demand Government Records on Epstein-Linked Influence Against $XRP

Reacting, McGregor, a widely followed crypto pundit, suggested that the emails raise broader questions about behind-the-scenes Epstein influence during crypto’s formative years.

Accordingly, he called on Ripple to press the SEC, DOJ, and Congress to disclose whether Epstein-linked individuals or networks shaped early crypto policy, enforcement priorities, or regulatory narratives targeting Ripple, $XRP, or Stellar.

He also pointed to former SEC Chair Gary Gensler’s prior academic involvement in blockchain education at MIT as an area warranting scrutiny. McGregor suggests that undisclosed influence may have affected policy decisions that later affected Ripple’s regulatory treatment.

Ripple’s Regulatory Woes in the U.S.

Although the email exchange occurred in July 2014, Ripple later came under sustained regulatory scrutiny from FinCEN and the SEC. In 2015, FinCEN, working with the U.S. Attorney’s Office, imposed a $700,000 civil penalty on Ripple for violations of the Bank Secrecy Act.

Subsequently, in December 2020, the SEC launched a multi-year lawsuit alleging that Ripple raised over $1.3 billion through $XRP sales it classified as unregistered securities. The case dragged on for five years and ended with Ripple paying a $125 million penalty and accepting a permanent injunction on future $XRP sales to institutions.

Now, the recent public awareness of Hill’s letter to Epstein and his call to discuss ways to “deal” with the issue has fueled speculation that industry figures may have influenced Ripple’s legal troubles.

Consequently, McGregor urged Ripple to formally request all government records linked to any Epstein-related influence on early crypto policy affecting the company, $XRP, or even rival Stellar.

Will Ripple Request Government Records Relating to $XRP?

His view aligns with comments from Ripple CTO Emeritus David Schwartz, who said he would not be surprised if Hill’s letter proved to be only the tip of a much larger iceberg, suggesting deeper issues may emerge.

Meanwhile, some users argue that Ripple may avoid pressing federal agencies due to its ties with the U.S. government.