May 30, 2024
Latest Cryptocurrency News

Ripple CEO Accuses SEC of Misusing XRP Reports in Ongoing Lawsuit

Ripple’s CEO, Brad Garlinghouse, expressed his disapproval of the United States Securities and Exchange Commission (SEC) on August 2 for using Ripple’s quarterly XRP Markets Report against the company in the ongoing lawsuit.

The report was initially designed to enhance transparency in the cryptocurrency industry, and the company intended to provide voluntary updates on its XRP holdings. However, despite their commitment to transparency, Garlinghouse emphasized that these reports were used against Ripple in the lawsuit. He hinted that future reports might undergo changes in response to this situation.

On July 31, Ripple unveiled its Q2 2023 XRP Markets Report, which focused on key highlights, including Judge Torres’ significant summary judgment ruling and clarifications about Ripple’s XRP holdings.

According to the report, Ripple’s XRP holdings increased from 5,506,585,918 to 5,551,119,094, indicating a surge of approximately 45 million. However, the total XRP on ledger escrow decreased by nearly 1 billion, attributed to rising demand for XRP.

Apart from Brad Garlinghouse’s criticism, XRP lawyer John Deaton also expressed strong disapproval of the SEC’s use of the reports as evidence against the company and its executives in the lawsuit. Deaton pointed out that Ripple willingly publishes these reports quarterly, whereas other firms not only conceal token sales but also deliberately disguise such transactions.

While Ripple acknowledged Judge Torres’ ruling on July 13, declaring XRP, not a security, the company clarified that XRP sales under written contracts could be categorized as investment contracts and fall under the security classification.

Moreover, Ripple addressed misconceptions surrounding its partial victory, stressing that while XRP is not a security in certain contexts, it may still be considered as such in specific circumstances. The company also clarified that the ruling protects sophisticated institutions but not retail buyers.

Image: Wikimedia

Related posts

Solana’s Bonk (BONK) Token Slides 22% in Value; Long-Term Gains Hold Ground

Christian Green

Singapore’s New President Champions Unified Regulatory Approach for Crypto and Conventional Finance

Henry Clarke

Bitrace Report Reveals 3 Unconventional Crypto Theft Techniques

Eva Moore

This website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish. Accept Read More

Please enter CoinGecko Free Api Key to get this plugin works.