Ripple and SEC Head Towards Final Showdown in $2 Billion Legal Battle
Ripple faces SEC in court, challenging a hefty $2 billion penalty as the case nears conclusion
The legal standoff between Ripple and the SEC nears a critical juncture, with both sides presenting their final arguments. Initiated in 2020, the SEC has requested a hefty $2 billion in fines from Ripple, who instead proposes a reduced penalty of no more than $10 million, pointing to similar, lower fines in other cryptocurrency cases like BlockFi and Genesis Global.
Ripple argues for a lower fine, suggesting that the SEC's demand is excessively harsh and not aligned with penalties in comparable cases, which were settlements rather than judgments. The SEC, however, contends that the penalty is proportionate to the $1 billion Ripple gained through activities that breached the Securities Act, and the extensive business developed from XRP sales.
Ripple’s Chief Legal Officer, Stuart Alderoty, critiqued the SEC’s recent filing on X, dismissing it as repetitive and asserting that it brought no new insights. He remains optimistic about a favorable resolution, expressing trust in the court's fairness as the case concludes. As this legal battle draws to a close, the impending final judgment remains uncertain, leaving the cryptocurrency community watching closely. The decision could significantly influence future regulatory actions within the industry.
