SEC Issues Significant Statement Regarding Ripple (XRP) Case
The US Securities and Exchange Commission (SEC) has made a crucial statement regarding the ongoing case with Ripple, shedding light on the penalties that the company is facing.
In response to Ripple’s attempts to reduce the fines imposed on them, the SEC firmly stated that the company has not admitted to any wrongdoing. The SEC dismissed Ripple’s plea for lower fines, emphasizing that the circumstances surrounding the penalties for Terraform were distinct.
Ripple, embroiled in a legal dispute with the SEC since 2020, made a comparison between the proposed $2 billion penalty for selling to institutional investors and the penalties imposed on Terraform Labs. However, the SEC argued that the terms for Terraform and Ripple were not comparable. The SEC highlighted that Ripple, unlike Terraform, is not accepting any of the damages and remains adamant in their stance.
In a recent settlement with the SEC, Terraform agreed to pay a hefty fine of $4.47 billion, which includes restrictions on its co-founder, Do Kwon, from engaging in certain transactions involving cryptoasset securities. The SEC emphasized that comparing the penalties for Terraform and Ripple is like comparing apples to pears, citing significant differences in the gross profit and requested penalties.
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