SEC Compels Ripple to Produce Recordings of Its Meetings


LLC founder attorney James Filan shared the latest news on the current legal battle between the SEC and Ripple Labs on Twitter. James Filan reported that the US Security and Exchange Commission has filed new requests from the court. Filan announced that the SEC has requested the court to issue an order to share audio and video recordings of all meetings held by Ripple employees.

The SEC also wants copies of recordings of meetings where defendants Brandley Garlinghouse (CEO), Christopher Larsen (former CEO) and other high-profile employees discussed business issues. The PDF file Filan attached to his tweet contains a letter addressed to Judge Netburn by the SEC. The letter says that on August 30, Ripple agreed to share these records in court.

However, SEC lawyers state that Ripple’s current sharing for these records is not efficient enough. SEC lawyers state that Ripple complied with the court order, but did not share everything in detail.

Will SEC and Ripple settle the lawsuit?

In December 2020, the SEC sued the company, alleging that Ripple’s senior executives made unfair profits. However, Ripple opposed these allegations made against it on the grounds that it was unfair. On the other hand, there is no legal definition for cryptocurrencies in America yet. Due to the legal vacuum, the case gets into a vicious circle and becomes difficult to resolve.

From the first moment this long-running lawsuit between Ripple and the SEC came to the fore, whether there was a possibility of an agreement between the parties began to be discussed in the market. But the SEC’s desire to copy Ripple Labs’ data is likely to inflame the case even more.

The parties have already stated that there is no possibility of consensus in their previous statements and the moves they have implemented. Recently, Ripple CEO seemed to have given the green light to the possibility of a settlement in a recent interview. However, after new requests from the SEC, this possibility seems to have decreased.

The outcome of the XRP lawsuit could affect the market

In December 2020, when his term was about to end, the lawsuit filed against Ripple by SEC Chairman Jay Clayton had fallen like a bombshell on the agenda of the crypto money market.  The regulator claimed that Ripple was making ill-gotten gains by selling unregistered securities for years.

However, the Ripple side emphasized that XRP is no different from Bitcoin or  Ethereum. It is stated that this case, which has been on the agenda for a long time, is very critical for the future of cryptocurrencies. Experts emphasize that in the scenario where the case is concluded against Ripple, other cryptocurrencies will also be adversely affected by this process.

At the time of writing, the XRP/USD pair is trading at $1.03, down 0.16% in the last 24 hours. The current CoinMarketCap ranking is number 7, with a live market cap of $48,3 billion.

Think we missed something? Let us know in the comment section below.

Share Your Opinion, Write a Comment