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Qadir AK
Qadir AK
Author
Qadir Ak is the founder of Coinpedia. He has over a decade of experience writing about technology and has been covering the blockchain and cryptocurrency space since 2010. He has also interviewed a few prominent experts within the cryptocurrency space.
- Feb 06, 2024 02:21 UTC
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Ripple vs SEC Heats Up: Crypto Giant Forced to Reveal Financials After Court Ruling
The SEC has won a significant victory in the XRP lawsuit, as the judge has compelled Ripple to disclose crucial financial details.
The outcome of the lawsuit could have a major impact on the XRP token, which has already seen its value drop significantly.
There is still a lot of uncertainty about the future of XRP, as the lawsuit is ongoing.
In a recent twist in the XRP lawsuit, U.S. District Judge Analisa Torres delivered a significant win for the Securities and Exchange Commission (SEC). Judge Analisa Torres has dealt Ripple a major blow, forcing them to reveal sensitive financial details to the SEC. This unexpected turn could spell big trouble for the blockchain giant, potentially impacting the fate of XRP itself.
Here’s the inside scoop.
SEC Gains Ground
Judge Torres gave the nod to the SEC’s motion, instructing Ripple to disclose financial statements for 2022-2023 and contracts tied to “Institutional Sales” of XRP. The SEC argues this info is vital for determining penalties and remedies in the ongoing lawsuit.
Despite Ripple’s objections, labeling the SEC’s requests as “untimely” and “unnecessary,” the court dismissed these claims. Stressing the importance of the data for the remedy stage, the judge insisted on not denying access to readily available information.
The court’s decision stating “no basis to short-circuit that inquiry by denying access to readily available information that may be probative to the remedy stage” represents a win for the SEC, reinforcing its position in the lawsuit.
Also Read: Ripple Hack Triggers XRP Sell-Off! Market in Freefall as 200M Tokens Vanish
Ripple’s Fate Hangs in the Balance
The court’s firm stance represents a win for the SEC, solidifying its standing in the lawsuit and strengthening its authority in the legal proceedings.
These disclosures are pivotal in shaping potential penalties against Ripple for the alleged violation of Section 5 of The Securities Act of 1933. Despite dropped charges against executives, the classification of XRP as a security remains unresolved.
In the midst of the legal battle, attorney John Deaton, representing pro-XRP holders, proposes a settlement. Deaton suggests Ripple paying a fine of around $10 million.
The Stakes are Higher than Ever!
With the SEC now granted access to Ripple’s financial information, the lawsuit enters a critical phase. The outcome will ripple through Ripple and the XRP token, which has seen its value drop from an all-time high of $3.4 to a mere $0.41. As the legal drama unfolds, the cryptocurrency community watches with bated breath.
Read More: Ripple Returns: XRP Poised to Enter US Market After 3-Year Hiatus
So, XRP fans, is this the end of the road for Ripple? Or can they still pull off a miracle comeback?
Yes 
No 
