The US Securities and Exchange Commission (SEC) claimed that Ripple company delayed the final solution in order to continue selling XRP.
The process between the US regulatory body, the SEC, and Ripple has almost turned into a blind knot. It is noteworthy that both sides exhibit a clear stance in the legal struggle that cannot be resolved.
Ripple had objected to the SEC’s appeal and some decisions to be appealed. The other day, the SEC had a hard time against Ripple’s objection. The regulator accused Ripple of delaying the outcome in order to continue selling XRP.
New dimension in SEC and Ripple tension!
The blind knot case between the SEC and Ripple could not reach a conclusion. The case is getting longer because different arguments constantly arise.
New York District Court Judge Analisa Torres signed a decision in favor of Ripple in July. Torres explained that Ripple’s sale of XRP on exchanges is not a security. The judge determined that Ripple’s sale of XRP to institutional investors is a security.
Following this decision, the SEC argued that the decision should be moved to an appeals court. Ripple contested the SEC’s appeal and asked the court to dismiss the SEC’s request.
The SEC, which made a move the other day, almost threw Ripple on the ball. The SEC argued that whether Ripple violated securities law in offering XRP to retail investors through crypto exchanges was certainly a question mark requiring appellate court intervention.
The SEC accused Ripple of delaying the resolution so that it could continue to sell XRP freely on public markets. In the statement from the institution, the following was said:
The SEC, like the Court, has an institutional interest in ultimately resolving this case in the most efficient manner. By contrast, defendants’ interest is to delay final resolution so they can continue to freely sell XRP on the public markets without the disclosures that accompany registration, generating net ODL sales of over $3 billion since 2020 alone.
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