1:00 p.m. ▪
3
min reading ▪ by
Eddy S.
In the legal arena of the crypto world, the bitter conflict between Ripple Labs and the SEC has just experienced a new shattering turn. Indeed, the American stock market policeman responded forcefully by submitting his scathing response to Ripple LabsX. This counter-offensive follows previous accusations that described the penalties demanded by the SEC as “unreasonable”, as evidenced by the Terraform Labs case.
The SEC counterattacks and defends its sanctions
In a captivating twist, the SEC is taking this opportunity to vigorously defend the amount of sanctions it is seeking from Ripple Labs. According to the regulator, its charges are generally determined on a case-by-case basis in the crypto sector, taking into account the specifics of each case. Although the average settlement rate is 1.27% of sales proceeds for crypto-related violations, the SEC says the penalties imposed on Terraform Labs were more lenient due to mitigating factors.
First of all, the regulator emphasizes having taken into consideration the insolvency of Terraform Labs and its lack of liquidity to pay a higher fine. However, in stark contrast, the SEC highlights the fact that unlike Terraform Labs, which agreed to cease its actions that caused the crypto-related violations, Ripple Labs persists in the same contentious actions that triggered the initial trial.
A crypto case likely to have major repercussions
Beyond the direct confrontation between the two parties in this crypto file, this new legal step is of crucial importance for the entire crypto sector. Indeed, the decision rendered by the court concerning the appropriate “remedies”, that is to say the sanctions or reparations to be applied in this crypto case, could have considerable repercussions on other files involving the SEC around the world crypto.
Although the supplemental authority notice filed by Ripple Labs aims to provide additional evidence in this crypto dispute, the final outcome remains uncertain and highly anticipated by the community.
In this epic battle between Ripple Labs and the SEC over a crypto affair at the heart of the debates, each new twist fuels the tension and interest of the community. The reference to the Terraform Labs case by the regulator in this dispute adds a new dimension to this breathtaking legal drama. Whatever the final outcome of this sensitive crypto issue, there is no doubt that this decision will have a lasting influence on the crypto regulatory landscape.
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Eddy S.
The world is evolving and adaptation is the best weapon to survive in this undulating universe. Basically a crypto community manager, I am interested in everything directly or indirectly related to blockchain and its derivatives. In order to share my experience and raise awareness of a field that fascinates me, there is nothing better than writing articles that are informative and relaxed at the same time.
DISCLAIMER
The comments and opinions expressed in this article are those of the author alone, and should not be considered investment advice. Do your own research before making any investment decisions.
