The XRP Attorney Jeremy Hogan tweeted that after scrutinizing the lawsuit against Ripple, filed by the US Securities and Exchange Commission(SEC), he came to identify that “its expert agrees that most of the changes in XRP price are due to market forces (and not Ripple), together with announcing the release of a detailed video.
The lawsuit was filed in December 2020, alleging that Ripple’s sale of XRP was an unregistered security, offering more than $1.38 billion. SEC claimed that Ripple was raising funds through “an unregistered securities offering” from 2013.
Ripple’s Executive Chairman Chris Larsen and CEO Brad Garlinghouse were also charged for allegedly aiding and abetting Ripple’s violations.
The company’s Lawyer Jeremy Hogan had been scrutinizing the case for a long. Recently he identified that SEC “has got a couple big problems” and confronted the team with the details put forward by the experts in “The Motion for Summary Judgement” that the changes in the price of XRP are only due to the market forces.
The experts assured that there was no doubt in the price change in XRP coins and that “SEC cannot carry its burden of showing that XRP purchasers reasonably expected to obtain profits”.
In 2020, SEC claimed that Ripple’s Executives held an Initial Public Offering (IPO), a process by which the company sold cryptocurrencies to the public in a new issuance, which is considered to be unauthorized and therefore, illegal.
However, Ripple counter-argued to the claim put ofrward by SEC that a digital coin should not be treated as a “security”. It added that such a title would force it to be under strict regulatory scrutiny. The company had been long awaiting the closing of the case.
The company CEO Garlinghouse commented in light of an expectation for a good end of the case:
Source: Cryptocurrency - investing.com
