US Court Sets Date for Preliminary Hearings in SEC V. Ripple Case


A court in New York has set the date it will hold preliminary hearings on the claim of the US SEC against the fintech company Ripple Inc.

December 30, 2020 | AtoZ Markets – The Southern District Court of New York has set a date for the first court hearing between the US Securities and Exchange Commission (SEC) and Ripple. According to the resolution, all parties must appear at the preliminary pre-trial hearing on February 22, 2021.

Preliminary hearings in SEC Ripple Case will take place over the phone

According to the resolution, the preliminary pre-trial hearing will be held in the format of a telephone conversation. It is then expected that the judge can set a preliminary date for the hearing. The cryptocurrency community was skeptical about the severity of the upcoming meeting due to the chosen format:

“Not even a zoom, but a“ telephone ”call? And they [SEC] want to fine [Ripple] $ 1.5 billion? Maybe they can’t afford to [swallow] the zoom? ”Wrote a user under the nickname attila59.

The regulator’s accusations have already led to the fact that the price of XRP in the XRP/USD pair fell from $0.58 to $0.20.

Wait position

The upcoming litigation between the American regulator and the fintech company caused a stir in the cryptocurrency market. As AtoZ Markets reported, more than 12 crypto exchanges have already stopped supporting XRP in one form or another.

Recall that in mid-December, the SEC filed a lawsuit against Ripple, accusing the company and its management of selling unregistered securities under the guise of XRP tokens.

Source: sec.gov

According to the SEC, starting in 2013, Ripple was able to sell XRP tokens worth $1.3 billion. Ripple said that with the help of a lawsuit, the American regulator brought only uncertainty to the crypto market, “actively harming the community that they should protect.”

However, the company has assured that it will continue to support all products and customers in the US and worldwide.

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