XRP Lawsuit Update: Ripple CEO Brad Garlinghouse believes the SEC’s lawsuit against Ripple could end soon, though the exact timing is uncertain. The main issue left is deciding the penalty for Ripple’s violation of securities laws, with ongoing rumors of a possible settlement.
Ripple CEO Brad Garlinghouse recently spoke about the ongoing legal battle with the US Securities and Exchange Commission (SEC). He mentioned that the case might end “very soon,” but couldn’t predict the exact timing of the judge’s ruling. Garlinghouse also didn’t comment on whether Ripple and the SEC are in settlement talks.
XRP Lawsuit Update: The Legal Battle So Far
The main issue left to resolve is the appropriate penalty for Ripple’s violation of securities laws. Judge Analisa Torres previously ruled that XRP, Ripple’s cryptocurrency, isn’t a security by itself. However, she also stated that Ripple’s sales of XRP to institutional investors were investment contracts, meaning Ripple broke securities laws by selling unregistered securities.
Disagreement on Penalties
The SEC initially proposed a fine of almost $2 billion, but later reduced it to $102.6 million. Ripple, on the other hand, suggested a fine of no more than $10 million. Despite their differences, there are rumors that Ripple and the SEC might still be negotiating a settlement.
XRP Lawsuit Update: Upcoming SEC Meeting
A closed-door SEC meeting initially set for July 18 was postponed to July 25. It’s unclear if this meeting will address the Ripple case.
July 13 marked a year since Judge Torres ruled that XRP isn’t a security. Ripple’s Chief Legal Officer, Stuart Alderoty, highlighted how this decision has influenced the crypto industry. He noted that similar rulings have followed, including a recent decision in the Binance case. Alderoty criticized the SEC for overreaching and not adhering to the law under its current chair, Gary Gensler.
XRP Lawsuit Update: While the SEC’s case against Ripple isn’t completely over, Alderoty emphasized that the court’s ruling that XRP isn’t a security will remain unchanged, as the SEC has stated it won’t challenge this decision.
Also Read:- Hamster Kombat Ban: Russian Lawmaker Warns HMSTR As Financial Threat
