The ongoing saga between Ripple and the US Securities and Exchange Commission (SEC) has taken a fiery turn. Ripple is fiercely contesting the SEC’s hefty $2 billion penalty demand, arguing its excessiveness and seeking a significantly lower amount.
Ripple Disputes the SEC’s Price Tag
In a detailed court filing, Ripple vehemently rejects the SEC’s proposed penalty. The company emphasizes the absence of accusations like fraud or recklessness, which typically justify hefty fines. Additionally, Ripple highlights its commitment to transparency when dealing with institutional investors regarding XRP sales.
Ripple points to its legal victories throughout the case, arguing they contradict the SEC’s penalty request. This suggests a potential inconsistency between the court’s findings and the demanded financial punishment.
Intimidation or Fair Play? Ripple’s Counter-Punch
Ripple’s Chief Legal Officer, Stuart Alderoty, takes a strong stance, portraying the SEC’s demand as an intimidation tactic targeting the entire US cryptocurrency industry. The company proposes a significantly lower penalty of $10 million, aligning better with the alleged violations and Ripple’s conduct.
The Clock is Ticking: May 6th Looms
The filing outlines the legal timeline, with the SEC’s reply brief due on May 6th, 2024. Judge Analisa Torres will ultimately decide on the appropriate penalty. Ripple expresses confidence in the judicial process for a fair resolution.
Also Read: Crypto Market to Double by Year-End? Ripple CEO Brad Garlinghouse Makes Bold $5 Trillion Prediction
This legal battle transcends Ripple. The crypto community and industry stakeholders are glued to the case’s outcome, as it carries significant weight for the broader cryptocurrency landscape. Will the court side with the SEC’s hefty demands, or will Ripple’s arguments prevail? Only time will tell, but one thing is certain: the fight is far from over.
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