Cryptocurrencies

Ripple tried to explain with SEC ahead of lawsuits – Cryptocurrencies

ripple ceo explanations

So the SEC would be invincible in court? Ripple (XRP) is trying to coax the SEC into trying to come to an amicable settlement to avoid a lawsuit with an uncertain outcome for the company.

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Do we make friends friends to avoid the worst?

In a tweet from January 7, 2021, Brad garlinghouse indicated that Ripple tried to strike a deal with the SEC, before the SEC decided to sue the company.

Garlinghouse addressed the key issues related to the SEC charges, while warning that he could not go into details as the case is pending.

He added that Ripple was trying to resolve the matter amicably, and that he would continue with the new administration.

The strategy adopted by Ripple presents similarities with that of Block.one, creator ofEOS, who had managed to come to an arrangement with the SEC.

Block.one had paid a fine that allowed him to get the green light to launch the current form of the token EOS.

Another crypto project to grace the SEC’s hunting board

The SEC charges against Ripple come as the regulator emerged victorious from its confrontations with Telegram and Kik, who allegedly violated securities law.

The SEC accuses Ripple of having made a sale of unregistered securities for an amount of $ 1.3 billion since 2013. She claims that these sales were used to finance the operations of the company.

Ripple continues to speak out against the SEC charges as a first hearing is scheduled for February 2021.

Regarding the other points justifying the complaint, Garlinghouse indicated that Ripple had provided some customers with incentives to use the product On-Demand Liquidity, which he says is perfectly legal.

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Many exchanges have delisted the XRP of their platforms after the SEC’s complaint against the company was announced.

If Ripple comes to an amicable deal with the SEC, will all of the company’s problems with the collapse of XRP price be resolved? Will Ripple make the same mistake by staying in the United States and trusting exchanges for the sale of XRP? The SEC could force Brad Garlinghouse to take a decisive turn in his company. The lack of solidarity shown by the exchanges towards a major crypto project like Ripple, will certainly leave traces in the cryptosphere.

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