In the ongoing legal saga between Ripple and the SEC, the crypto company’s chief legal officer, Stuart AlderotyHe drew a striking parallel between the regulator’s handling of the case and Franz Kafka’s famous novel, “The Trial.”
In the ongoing legal saga between Ripple and the SEC, the crypto company’s chief legal officer, Stuart Alderotydrew a striking parallel between the regulator’s handling of the case and Franz Kafka’s famous novel, “The Trial.”
Alderoty’s comparison underscores Ripple’s claim that it has been treated unfairly by the regulator throughout the Wells Notification investigation and process. Some argue that this case is emblematic of a broader trend, in which other cryptocurrency companies, such as Robinhood or Coinbase, experience similar challenges navigating inconsistent feedback from the SEC.
Ripple vs. SEC vs. XRP
As of now, the SEC continues to seek remedies against the San Francisco-based blockchain company, worth nearly $2 billion for selling XRP to institutional investors.
In response to the SEC’s motion for judgment and remedies, Ripple has requested to seal certain documents, citing concerns that their disclosure could cause significant harm to its business interests.
The requested redactions include highly confidential information about profits, revenues, expenses, and discounts at which XRP was sold to institutions. While Ripple acknowledges the relevance of its discounts to institutional buyers, it declines to disclose specific financial and pricing terms.
Additionally, Ripple seeks to protect the identities of non-party financial institutions, customers, and employees, arguing that disclosure could be detrimental to their legitimate privacy interests and potentially harm business partnerships. Despite the SEC’s request for more than $2 billion in fines and penalties, Ripple maintains that any civil penalties should not exceed $10 million.
