Company Lawyer Says $10 Million Fine is Appropriate

Turkish lire; Dr

• Ripple asserts that the SEC's proposed $2 billion penalty is excessive, suggesting a fine of no more than $10 million.
• The company's CEO expects to reach a decision by the summer of 2024, although the complex legal process may cause delays.

Ripple's arguments

The legal dispute between Ripple and the US Securities and Exchange Commission (SEC) has been ongoing for more than three years, and has recently entered its experimental phase. The lawsuit is resolved around The regulator charges that the company and some of its executives offered unregistered securities by selling their XRP token.

Earlier this year, the Securities and Exchange Commission to request A fine of $2 billion was imposed on the company for allegedly… The aforementioned violations. Ripple, along with chief legal officer Stuart Alderotti, did not welcome the idea He argues Should be fined do not pass 10 million dollars.

And recently the company's lawyers Doubled Upon request, case to case comparison between the Commission and Terraform Labs. Recall that defunct crypto company Agreed To pay a fine of $4.47 billion that it Fraudulent activity. The amount includes $3.6 billion in debt restitution, $466 million in pre-judgment interest, and a civil penalty of $420 million.

The SEC previously agreed that civil penalties should range from 0.6% to 1.8% of a defendant's gross revenue, the defense said, claiming Terraform Labs “fits that pattern.” As such, the lawyers concluded that an “appropriate” fine imposed on Ripple would be no more than $10 million.

Additionally, the lawyers noted, a Manhattan jury found Terraform Labs and its co-founder Do Kwon liable on civil charges and “recklessly orchestrating one of the largest securities frauds” in U.S. history. On the other hand, they added that there are no direct allegations of fraud in the case between Ripple and the Securities and Exchange Commission.

Is the lawsuit close to being resolved?

Despite being in the trial phase, the legal battle could last for years due to the complexity of the process, potential delays and appeals from both parties. According to Ripple CEO, Brad GarlinghousealthougThe solution could happen as soon as this summer.

“My estimate is sometime before the end of summer. Someone asked me about the end of August, but I indicated September 21 as the end of summer.” He said.

Another person who believes the case may officially end in the next few months is US Attorney Jeremy Hogan. he Plasmodium $100 million settlement:

“I say the judge will order Operation 0 invalidated, but he will throw the SEC a bone and order Ripple to pay a $100 million fine.”

Some may view the SEC as the underdog in the lawsuit, considering the company's three partial victories in court throughout 2023. The price of XRP has reacted positively after each victory, meaning a decisive victory could once again send big. Those who would like to learn more about the legal battle and its impact on the native Ripple token, feel free to take a look at the dedicated video below: