The legal battle between Ripple Labs and the United States Securities and Exchange Commission (SEC) in the cryptocurrency world has reached a new level with the SEC’s latest response in the case against XRP. This is a significant development after years of legal proceedings.
In its recent statement, the SEC strongly refutes Ripple’s defense, which claims that there is no “generalized uncertainty” about the legal status of XRP, despite unfavorable court decisions. The commission argues that even though Ripple has complied with regulations in the past since the process began in 2020, there is no guarantee that future violations will be avoided.
According to recently released documents, Ripple has attempted to minimize its responsibility by highlighting its cooperation with the SEC since the initial issuance of XRP in 2013. However, the SEC maintains that there is still a possibility of future infringements and asserts that the behavioral changes proclaimed by Ripple are insufficient to prevent legal action.
The SEC also criticizes Ripple’s statements regarding changes to XRP sales, particularly concerning contractual changes and sales to investors outside the United States and accredited investors. The commission points out that these defenses were inadequate during the summary judgment hearings.
In response to these accusations, Ripple’s legal director, Stuart Alderoty, has expressed the company’s position. He highlights the decline in the SEC’s reputation and compares its regulatory actions to the issuance of fishing licenses, criticizing the inconsistency in the application of laws by the SEC. Alderoty cautiously expresses optimism about the future of the XRP case, aligning with the crypto community’s expectation for the anticipated outcome in September.
Please note that the author’s views and opinions, as well as those mentioned in this article, are for informational purposes only and should not be considered financial or investment advice. Investing or trading cryptocurrencies carries a risk of financial loss.
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