Welcome to Extreme Investor Network, where we bring you the latest news and updates on the world of finance, trading, and all things Wall Street. Today, we take a closer look at the ongoing battle between the SEC and Ripple, two giants in the cryptocurrency space.
The SEC has proposed that Ripple pay nearly $2 billion in fines for selling XRP to institutional investors, while Ripple argues that a figure closer to $10 million would be more reasonable. The SEC has justified its proposed penalty by stating that anything less would set a dangerous precedent and encourage other crypto asset issuers to violate securities laws as a “cost of doing business.”
This legal feud between the SEC and Ripple has been going on for years, with the SEC accusing Ripple of raising $1.3 billion through the sale of XRP, which it considers to be an unregistered security. A ruling last year by Judge Analisa Torres in New York determined that some of Ripple’s sales of XRP did not violate securities laws due to a blind bid process in place, but other direct sales to institutional investors were deemed as securities.
Furthermore, the SEC has criticized Ripple’s assurances to the court that it would not violate the law again in the future, adding fuel to the fire in this high-stakes legal battle.
Stay tuned to Extreme Investor Network for more updates on this case and other financial news that can help you stay ahead in the ever-evolving world of trading and investing. Make sure to bookmark our website for exclusive insights and analysis you won’t find anywhere else. Happy investing!
