US Securities and Exchange Commission (SEC), Ripple has already put the stablecoin, which the company recently announced, under the spotlight. The SEC made an early move by defining stablecoin as an “unregistered crypto asset” in its latest filing.
As Koinfinans.com reported, Ripple announced its dollar-backed cryptocurrency at the beginning of April. Both XRP The “institutional-grade” stablecoin, which will be launched on both Ledger and Ethereum, is expected to bridge the gap between traditional finance and crypto.
According to Ripple CTO David Schwartz, the stablecoin project will be named in June. will be announced.
Nope, DS said the name will be announced in June, not that it will be launched in June.
NEWS CONTINUES BELOW— מפצח קודים (@RolfNoskwith) May 6, 2024
In its response, the SEC claims that a permanent injunction is warranted because Ripple’s business relies almost entirely on the sale of XRP to On-Demand Liquidy (ODL) customers.
In 2023, US District Court Judge Analisa Torres ruled that Ripple violated security laws by selling the XRP token directly to institutional investors.
On the other hand, the SEC accused Ripple of trying to rehash summary judgment arguments. Ripple also had the right to appeal.
The SEC believes that the company should receive a heavy and deterrent penalty. The company insists on a fine limited to $10 million. Additionally, the application states that courts regularly impose penalties equal to the defendant’s ill-gotten gains.
Reacting to the SEC’s response, Stuart Alderoty, one of the company’s senior lawyers, stated that Ripple is “closer than ever” to putting the case behind it.
The SEC is doing the same things again, namely not faithfully enforcing the law and trying to deceive the Judge. The good news is that we are closer than ever to putting this case behind us, but unfortunately many people are just beginning this journey.
