Impact

Million

Fine

<ul>
 <li>The company faces a $125M penalty in its ongoing dispute with the SEC regarding XRP revenue.&nbsp;&nbsp;</li>  
 <li>The court ruled that XRP is not a security, but Ripple’s institutional income broke laws.&nbsp;&nbsp;</li>  
 <li>The SEC has until October 6 to decide if it will defend the court’s oral ruling.</li> 
</ul>  
<p>Ripple Group is preparing to issue the US Securities and Exchange Commission $125 million as part of a long-running regulatory scandal. The case, which has lasted over three years, involves allegations that it conducted an unregistered investment offering through the distribution of <a href="https://cryptonewsland.com/xrp-ada-eth-sol-crypto-cult/" target="_blank" rel="noopener noreferrer nofollow">XRP</a>. The fine, much lower than the nearly $2 billion originally sought by the SEC, is a defining moment in a closely watched case in the digital assets community.</p>  
<h2 class="wp-block-heading" id="h-court-ruling-and-its-impact-on-ripple">Court Ruling and Its Impact on Ripple</h2>  
<p>On August 8, 2023, a federal judge ordered Ripple to pay the $125 million assessment. This ruling is a crucial reduction from the SEC’s original demands. The company had expressed disagreement for a smaller fine, suggesting a maximum of $10 million. The Court's ruling, while still costly for Ripple, reflects a compromise between both sides.</p>  
<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter">
 <div class="wp-block-embed__wrapper">
  https://twitter.com/_Crypto_Barbie/status/1831019289996075281
 </div>
</figure>  
<p>This rule followed a July 2023 decision by Justice Analisa Torres, who determined that XRP is not an assurance. Ripple considered this a partial victory, but the court also found that Ripple’s marketing of XRP to institutional investors broke securities laws, leading to the fine. This outcome has led to lively discussions about how crypto should be mandated.</p>  
<h2 class="wp-block-heading" id="h-potential-appeal-and-future-implications">Potential Appeal and Future Implications</h2>  
<p>The SEC has until October 6 to appeal the court’s verdict, though the agency has not announced its plans. There is ongoing speculation about whether the security exchange will challenge the decisions. Some suggest that an appeal could extend the constitutional controversy and possibly affect the broader virtual currency marketplace.</p>  
<p>The company's Chief Legal Officer, Stuart Alderoty, is confident in the court’s decision, stating that an objection is unlikely to change the outcome. He pointed to the low success rate of similar appeals and said that the <a href="https://cryptonewsland.com/telegram-founder-pavel-durov-released-under/" target="_blank" rel="noopener noreferrer nofollow">judicial </a>system thorough examination leaves little room for new arguments. While the possibility of an incentive remains, its effects could be noteworthy.</p>  
<h2 class="wp-block-heading" id="h-implications-for-cryptocurrency-regulation">Implications for Cryptocurrency Regulation</h2>  
<p>The Ripple v. SEC case has important implications for the crypto space, especially in how digital assets are regulated. The court’s declaration that XRP is not a security, combined with the reduced fine, could influence other cryptocurrency projects. The case highlights the challenges and ongoing debates around crypto restrictions in the U.S. As the organisation prepares to pay the $125M imposed penalty, the sector is closely watching for further developments.</p> 
<p>The post <a href="https://cryptonewsland.com/ripple-to-pay-125-million-fine-in-ongoing-legal-dispute-with-sec/" rel="noopener noreferrer nofollow">Ripple to Pay $125 Million Fine in Ongoing Legal Dispute with SEC</a> appeared first on <a href="https://cryptonewsland.com" rel="noopener noreferrer nofollow">Crypto News Land</a>.</p>

Ripple to Pay $125 Million Fine in Ongoing Legal Dispute with SEC

Table of Contents

Crypto News Land

Other articles published on Sep 4, 2024

Samsung Next Backs Startale Labs, Co-Developer of Sony’s Soneium

Algorand Integrates Alchemy Pay: Seamless Fiat-Crypto Gateway in 173 Countries

Determining The Best RWA Crypto Altcoin Project

Expert Warns: The Four-Year Bitcoin Cycle Is No Longer Relevant!

Akita Inu secures millions in funding through 2027

BCH Bounces Back as HBAR Widens Reach—Altcoin’s Rumored UCL Deal and Its $68M Token Sale Impact

Join our free newsletter for daily crypto updates!