Is Ripple Case Closed? What Awaits XRP Investors?

0

The evolving and expanding complexity of the cryptocurrency world has brought about efforts by regulatory authorities to provide greater control over these new digital assets. In this context, the XRP case, initiated and closely followed by the US Securities and Exchange Commission (SEC), has attracted the attention of the cryptocurrency community and the financial world. This lawsuit targeting Ripple Labs is not just about this particular company, but has become part of a broader conversation about the future and regulation of the cryptocurrency world.

In the latest development regarding the XRP case, the SEC demanded $770 million from Ripple Labs. This request comes after the SEC dropped charges against Ripple Labs executives Brad Garlinghouse and Christian Larsen.

John Deaton, an attorney representing more than 75,000 XRP holders, says there is no apparent dialogue between Ripple and the SEC regarding a potential deal. explained. This creates further uncertainty about the future of the case.

According to Deaton, the SEC is “angry and embarrassed” over the dismissal of the charges and is now seeking $770 million in some form of financial compensation.

Deaton also noted that the ongoing legal phase, often referred to as the “penalty phase,” is considered a separate case involving various legal procedures such as depositions, document requests and review of ODL proceedings. This shows that the XRP case may go into further detail and affect the future of the cryptocurrency world.

Ripple’s (XRP) Efforts to Reduce the Penalty

Ripple is determined to significantly reduce the $770 million penalty requested by the SEC. But Deaton cautioned that Judge Torres’ final decision wouldn’t be expected until late summer 2024, and even after that, it could take another year for an appeal to be filed.

So it looks like Ripple still has a long way to go in the XRP case. During the lengthy legal proceedings in this direction, Ripple is expected to suffer significant financial distress due to rapidly increasing legal costs. It is estimated that the company’s legal costs to find a favorable resolution or to defend itself if the case proceeds could reach tens of millions of dollars.

The SEC’s $770 million settlement request represents a significant turning point in the ongoing XRP case. It remains unclear at this time whether Ripple will be able to reach a lower settlement with the SEC or whether the matter will be taken to court. If the case goes to court, it is expected to be a long process, the decision will take a few more years, and Ripple’s financial burden will become even heavier.

With all these developments, the XRP case between Ripple Labs and the SEC emerges as an important legal process that shapes the discussions on the regulation and future of the cryptocurrency world. Therefore, this case will continue to be closely monitored.

You can follow the current price movement here.


source site-7