SEC vs. Ripple: Settlement Discussions & XRP Price Drop Fears
The ongoing case between Ripple and the U.S. Securities and Exchange Commission (SEC) has generated heated discussions regarding possible settlements. This is a detailed synopsis of the circumstances:
- Background: The Securities and Exchange Commission (SEC) sued Ripple Labs, claiming that the company had offered unregistered shares of XRP in institutional transactions and had violated Section 5 of the Securities Act of 1933. The SEC requested a final judgment against Ripple and over $2 billion in fines before a recent settlement meeting. Executives at Ripple, such as Stuart Alderoty and Brad Garlinghouse, chastised the SEC and pledged to expose the agency.
- **Pretrial Conference**: The proceeding calendar of the SDNY Court lists April 16 as the date of the “Final Pretrial Conference” between the SEC and Ripple Labs.
The specifics of the courtroom, however, are still unknown (“TBD”).
There had been talk of a possible settlement after the SEC dismissed its allegations against executive chairman Chris Larsen and CEO Brad Garlinghouse.
Some people in the XRP community still think a resolution is likely in spite of this.
- **Upcoming Deadlines**: By April 22 and April 24, respectively, Ripple’s defence team intends to submit an opposition brief and a redacted version.
By May 6, the SEC is expected to turn in its rebuttal brief.
Conferences between the parties and other parties will continue, and filings are anticipated until May 20.
- Coinbase Interlocutory Appeal: The U.S. Court of Appeals for the Second Circuit clarified for Coinbase and Ripple that secondary market cryptocurrency transactions are not securities.
In its interlocutory appeal, Coinbase aims to clarify whether an “investment contract” needs to have a contract.
If Coinbase loses the SEC appeal, it might affect XRP’s programmatic sales.
- **XRP Price Concerns**: The price of XRP is presently trading below important support levels, which are $0.50 and $0.52.
Concerns about Ripple’s release of XRP from escrow and recent market-wide selloffs have also contributed to the price drop.
Dealers in derivatives are keeping a careful eye on the open interest in XRP futures.
In conclusion, the Ripple v. SEC case is still ongoing, and as important deadlines approach, settlement discussions become more heated. Although the conclusion is still unknown, the cryptocurrency market is keeping a close eye out for any updates.
Source: Talk with Bing, April 16, 2024
(1) XRP Price Fall Concerns & Settlement Debates in the Ripple v. SEC Lawsuit. Concerns about XRP price declines and lawsuit settlements: source : https://coingape.com/ripple-vs-sec-lawsuit-settlement-debates-xrp-price-fall-concerns/
(2) XRP Price Drop Fears & Settlement Discussions in the Ripple v. SEC Lawsuit… The concerns regarding the price fall of XRP are discussed in the lawsuit settlement debate between Ripple and the SEC.
(3) Ripple’s calculated XRP release fuels rumours of an SEC settlement. This article, “Ripple’s Strategic XRP Release Fuels Rumors of Sec Settlement,” was published on MSNBC in English.
(4) XRP News Today: Ripple Problems Get Worse Due to SEC vs. Uniswap Lawsuit. The lawsuit between Sec. and UniSwap deepens the ripple effects, according to an article published on Nasdaq today.
(5) As the Ripple v. SEC lawsuit settlement talks are underway, XRP is rising. According to a legal expert, if this lawsuit proceeds, a settlement will likely occur this year.
