The US Securities and Exchange Commission (SEC) has stated that it intends to challenge a recent court decision that determined the cryptocurrency XRP used by Ripple is not a security.
SEC Requests Certification of the Court's Ruling
The US Securities and Exchange Commission (SEC) has stated that it intends to challenge a recent court decision that determined the cryptocurrency XRP used by Ripple is not a security.
In a court filing, the SEC requests certification of the court's ruling that XRP sales did not include securities and that an interlocutory review is necessary.
The SEC requested permission to deviate from the case's predetermined course after claiming that a review would affect a number of its actions.
This is in response to a court decision from last month that ruled that distributions to employees and programmatic sales of XRP by Ripple Labs to the general public did not constitute the sale of unregistered securities. However, XRP sales to institutions were regarded as unregistered securities sales.
Since 2020, the company has been involved in a legal dispute with the SEC when the regulator accused Ripple and its co-founders of raising $1.3 billion through the sale of XRP, an allegedly unregistered security.
