"Ripple's chief technology officer and Cardano's founder are arguing over 'Ethereumgate'"

Ripple CTO David Schwartz and Cardano founder Charles Hoskinson have expressed different views on the controversial “ETH Gate” theory.

Arguably one of the most contentious topics in the industry, the Ripple CTO and Cardano founder recently clashed over “ETH Gate”.

ETH Gate debate resurfaces

The ETH Gate theory debate resurfaced over the weekend at an X Spaces event in partnership with Hoskinson. According to Hoskinson, there are two versions of the controversial ETH Gate theory.

The first theory is that Ethereum officials established connections with staff within the SEC to get ETH regulated favorably among other crypto assets.

On the other hand, the second theory is that some crypto enthusiasts claim that Ethereum is using its connection with the SEC to initiate legal action against Ripple and XRP.

Hoskinson stressed in his comments that the second claim is a conspiracy theory and that there is no evidence to support the contention that the Ethereum community bribed the SEC to "eliminate" Ripple and XRP. Hoskinson has long held this view, which has led to a bad relationship between him and the XRP community.

Ripple CTO refutes Hoskinson's claims

Responding to Hoskinson’s comments, Schwartz raised some questions about his theory that support for Ethereum has influenced the SEC to actively fight against Ripple and XRP.

Schwartz’s questions centered around the relationship between former SEC official William Hinman and Ethereum.

“So, wasn’t Hinman closely involved? Didn’t he have a financial interest in Ethereum? Didn’t he self-exclude? Or is this not the reason for the evidence?” questioned the Ripple CTO.

Additionally, Schwartz asked Hoskinson if he thought Hinman’s connection to Simpson Thacher & Bartlett could be potential evidence of factors that could influence the SEC’s case against Ripple.

Prior to joining the SEC, Hinman was a partner at Simpson Thacher & Bartlett LLP, a member of the Enterprise Ethereum Alliance (EEA), which markets Ethereum as an enterprise solution.

Hinman met with Simpson Thacher’s staff several times during his time at the SEC, including in 2018, before his controversial speech that ETH was not a security.

Cardano founder responds

Hoskinson accused Schwartz of trying to incite the crowd with his comments. The Cardano founder noted that while he never took a side on the traditional ETH Gate arguments, his grand conspiracy statement involved allegations made by XRP enthusiasts that Ethereum bribed the SEC to go after Ripple.

"No matter how many times you try to confuse two statements, it doesn't change reality," Hoskinson added.

In response, Schwartz said that the traditional ETH Gate argument has always focused on how regulators conclude and interpret regulatory lines, which seems to favor Ethereum and be negative about XRP.

This is not the first time Hoskinson and Schwartz have sparred over the ETH Gate issue. Last year, Schwartz publicly opposed comments by Hoskinson, who claimed Hinman's speech did not prove corruption but favoritism.

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