Safe

April

<p>The legal case between Ripple Labs and the SEC has been a notable case in the cryptocurrency industry. The legal case that began in 2020, has majorly affected the cryptocurrency sector, by influencing regulatory framework and pushing the limits of categorization of digital assets. This blog delves into the detailed timeline of the XRP SEC case, examining crucial occurrences, rulings, and the effect on both parties and the wider cryptocurrency community.</p>
<h2 id="strong-the-genesis-of-the-ripple-sec-lawsuit-strong"><strong>The Genesis of the Ripple SEC Lawsuit</strong></h2>
<p>In 2012, Ripple Labs was founded with the goal of revolutionizing international money transfer through its XRP cryptocucrrency and RippleNet network. However, over time, allegations emerged about the nature of <a href="https://coingape.com/price/xrp" rel="noopener noreferrer nofollow">XRP</a> token sales, prompting the SEC to file a lawsuit in 2020.</p>
<p>The SEC accused Ripple of violating federal security laws by conducting an unregistered securities offering. The heart of the SEC’s case revolved around the initial sale of XRP, which it considered similar to the offering of an IPO of unregistered securities.</p>
<h2 id="strong-the-sec-s-claims-and-ripple-s-defense-strong"><strong>The SEC’s Claims and Ripple’s Defense</strong></h2>
<p>The SEC’s argument centered around categorizing XRP as a security, which distinguished it from cryptocurrencies such as Bitcoin and Ethereum. Ripple responded to these allegations by claiming that XRP had value as a currency and use, therefore not subject to securities regulation.</p>
<p>Ripple’s defense questioned the SEC’s claim of insufficient prior warning about how XRP is classified and pointed out possible prejudices in enforcing securities regulations on digital currencies.</p>
<h2 id="strong-the-legal-battle-unfolds-a-timeline-of-events-strong"><strong>The Legal Battle Unfolds: A Timeline of Events</strong></h2>
<p>The legal dispute between Ripple and the SEC progressed through a series of key events, each influencing the direction of the lawsuit.</p>
<h3 id="strong-december-21-2020-sec-initiates-legal-action-against-ripple-l-strong-abs"><strong>December 21, 2020: SEC Initiates Legal Action Against Ripple L</strong>abs</h3>
<p>The SEC initiated legal action against Ripple Labs, claiming that Ripple, CEO <a href="https://coingape.com/education/ripple-ceo-brad-garlinghouse/" rel="noopener noreferrer nofollow">Brad Garlinghouse</a>, and co-founder <a href="https://coingape.com/education/chris-larsen-net-worth/" rel="noopener noreferrer nofollow">Chris Larsen</a> had engaged in an unregistered securities offering worth $1.3 billion by selling XRP. Garlinghouse, in spite of the SEC’s requirements, announced Ripple’s decision to fight the legal battle.</p>
<h3 id="strong-december-28-2020-coinbase-removes-xrp-from-listing-strong"><strong>December 28, 2020: Coinbase Removes XRP From Listing</strong></h3>
<p>Coinbase, one of the top cryptocurrency exchanges, stated that it will delist XRP token from its platform. Coinbase highlighted that it took this action due to the SEC’s legal action against Ripple Labs, Inc.</p>
<h3 id="strong-march-3-2021-ripple-dispute-sec-s-lack-of-fair-notice-strong"><strong>March 3, 2021: Ripple Dispute SEC’s Lack of Fair Notice</strong></h3>
<p>Ripple Labs stated in its recent court filing that the SEC did not give <a href="https://coingape.com/ripple-vs-sec-update-judge-torres-considers-extending-xrp-lawsuit-fair-enough/" rel="noopener noreferrer nofollow">fair enough</a> notice that XRP transactions were illegal or that the SEC would later classify XRP as an investment contract. Ripple claimed that before the SEC’s Complaint, many market participants had been trading XRP for years, thinking it was not a type of investment contract. Ripple Labs argued that XRP is not a security.</p>
<h3 id="strong-march-8-2021-sec-asks-for-a-prompt-hearing-strong"><strong>March 8, 2021: SEC Asks for a Prompt Hearing</strong></h3>
<p>Following Ripple’s and its executives’ arguments, the SEC asked the judge for a prompt hearing to discuss the fair notice issue and other case-related issues.</p>
<h3 id="strong-march-22-2021-xrp-recognized-for-currency-value-and-utility-strong"><strong>March 22, 2021: XRP Recognized for Currency Value and Utility</strong></h3>
<p>Judge Sarah Netburn determined that XRP has value as a currency and utility, distinguishing it from digital currencies such as Bitcoin and Ethereum. This decision emphasized the difference among different digital assets.</p>
<h3 id="strong-april-13-2021-hester-peirce-proposes-token-safe-harbor-2-0-strong"><strong>April 13, 2021: Hester Peirce Proposes Token Safe Harbor 2.0</strong></h3>
<p>SEC Commissioner <a href="https://coingape.com/this-sec-commissioner-wants-to-redefine-exchange-will-it-save-crypto-in-us/" rel="noopener noreferrer nofollow">Hester Peirce</a> released Token Safe Harbor Proposal 2.0. This plan sought to provide developers with a three-year grace period, during which they would be excluded from securities laws, in order to gain a clearer understanding of their role in decentralized networks.</p>
<h3 id="strong-june-14-2021-court-extends-sec-deadline-for-disclosing-crypto-trading-policies-strong"><strong>June 14, 2021: Court Extends SEC Deadline for Disclosing Crypto Trading Policies</strong></h3>
<p>The court granted an extension to the SEC for revealing its internal crypto trading policies until Aug. 31, 2021. This extension provided additional time for the SEC to disclose its internal workings on cryptocurrency trading and possible conflicts of interest.</p>
<h3 id="strong-august-31-2021-sec-faces-deadline-of-internal-crypto-trading-policies-disclosure-strong"><strong>August 31, 2021: SEC Faces Deadline of Internal Crypto Trading Policies Disclosure</strong></h3>
<p>According to the new deadline extension, the SEC had to reveal its internal policies for crypto trading. This disclosure was intended to shed light to the operations of the SEC and how they could affect the case.</p>
<h3 id="strong-october-15-2021-deadline-for-expert-discovery-strong"><strong>October 15, 2021: Deadline for Expert Discovery</strong></h3>
<p>The deadline for expert discovery was set for collecting insights from cryptography and securities experts. This procedure intended to offer further understanding and professional viewpoints on the case.</p>
<h3 id="strong-jan-24-2022-deadline-extended-for-releasing-confidential-documents-strong"><strong>Jan. 24, 2022: Deadline Extended for Releasing Confidential Documents</strong></h3>
<p>Judge Netburn set a deadline of Feb. 17 for the SEC to appeal her previous ruling that Ripple Labs must reveal specific confidential government papers.</p>
<h3 id="strong-september-17-2022-strong-sec-and-ripple-make-initial-motions-for-summary-judgment"><strong>September 17, 2022</strong>: SEC and Ripple Make Initial Motions for Summary Judgment</h3>
<p>Both the SEC and Ripple Labs filed their initial motions for summary judgment, signaling a notable development in the legal proceedings. The motions detailed the arguments and positions of each party in relation to the case.</p>
<h3 id="strong-september-21-2022-strong-court-approves-chamber-of-digital-commerce-s-brief"><strong>September 21, 2022:</strong> Court Approves Chamber of Digital Commerce’s Brief</h3>
<p>The court examined and approved a plea from the Chamber of Digital Commerce, a US organization that advocates for blockchain technology, to submit an amicus curiae brief.</p>
<h3 id="strong-dec-2-2022-strong-sec-and-ripple-responses-released"><strong>Dec. 2, 2022:</strong> SEC and Ripple Responses Released</h3>
<p>Following the Nov. 30 deadline, the SEC and Ripple Labs’ responses in favor of their summary judgment motions were released to the public. These papers offered further understanding of the parties’ legal positions and rebuttals to the other party’s petition.</p>
<h3 id="strong-december-22-2022-strong-sec-seeks-to-block-release-of-hinman-documents"><strong>December 22, 2022:</strong> SEC Seeks to Block Release of Hinman Documents</h3>
<p>The SEC sought to block the disclosure of the Hinman documents in the XRP case, as well as any mentions of them in Ripple Labs’ court filings. The Hinman documents underwent an extensive exchange of information between Ripple and the SEC concerning their importance and possible influence on the case.</p>
<h3 id="strong-june-12-2023-strong-hinman-documents-disclosed-and-released-publicly"><strong>June 12, 2023:</strong> Hinman Documents Disclosed and Released Publicly</h3>
<p>After a lengthy legal process, the Hinman documents revealing internal communications of former SEC director William Hinman were unsealed and made public. These documents had potential importance in the XRP SEC case, adding a new aspect to the legal battle.</p>
<h3 id="strong-july-13-202-strong-3-the-court-rules-in-favor-of-ripple-labs"><strong>July 13, 202</strong>3: The court rules in favor of Ripple Labs</h3>
<p>Torres ruled in favor of Ripple, stating they did not break the law selling XRP on public exchanges, a win for the cryptocurrency sector against U.S. regulators. However, Ripple was found to violate securities laws selling to institutional buyers.</p>
<p><strong>August 15, 2023:</strong> Judge Torres approved SEC appeal request, filed notice of appearance for investment banker declarant.</p>
<p><strong>August 18, 2023:</strong> Deadline for the SEC to submit their appeal in court.</p>
<p><strong>September 1, 2023</strong>: Ripple responded to the appeal by stating that the SEC did not have any valid legal basis for a successful or relevant outcome.</p>
<p><strong>September 8, 202</strong>3: The deadline for the SEC to submit its response.</p>
<p><strong>October 3, 2023:</strong> Judge Torres rejected the SEC’s petition for an interlocutory appeal because it does not satisfy the exceptional circumstances required.</p>
<p><strong>October 4, 2023:</strong> Ripple’s branch in Singapore was granted permission to carry out its operations within the country. The trading volume of XRP almost doubled.</p>
<p><strong>October 23, 2023:</strong> The charges against the individual defendants (Garlinghouse &amp; Larsen) were dismissed by the SEC with the approval of Judge Torres.</p>
<p><strong>February 27, 2024:</strong> SEC requests <a rel="noopener noreferrer nofollow" href="https://twitter.com/FilanLaw/status/1762650214052004129?ref_src=twsrc%5Etfw%7Ctwcamp%5Etweetembed%7Ctwterm%5E1762650214052004129%7Ctwgr%5Ede33323edce7b80d72750212f9f6ae0a233bcecc%7Ctwcon%5Es1_&amp;ref_url=https%3A%2F%2Ffinbold.com%2Fripple-v-sec-case-update-for-end-of-february-2024%2F" target="_blank">changing briefing</a> deadlines: agency’s opening brief due March 22, 2024; Ripple’s opposition brief due April 22, 2024; SEC’s reply brief due May 6, 2024.</p>
<p><strong>March 25, 2024:</strong> The SEC submitted a request for judgment, seeking close to $2 billion in fines from Ripple.</p>
<p><strong>April 22, 2024</strong>: Ripple Labs has submitted its opposition, objecting to the SEC’s plea for close to $2 billion in fines, offering to <a href="https://coingape.com/ripple-files-opposition-agrees-pay-10m-penalty-us-sec-xrp-news/" rel="noopener noreferrer nofollow">pay a $10 million</a> fine instead.</p>
<p><strong>April 23-24, 2024</strong>: If Ripple’s materials have confidential information, a meeting will be scheduled to talk about redactions, and then a public, redacted version of Ripple’s opposition brief will be submitted.</p>
<p><strong>May 6-8, 2024:</strong>&nbsp;The SEC will file its response brief under seal, after which there will be a meeting to address redactions. A redacted version of the response brief and any non-confidential supporting exhibits will be submitted publicly.</p>
<figure id="attachment_193072" aria-describedby="caption-attachment-193072" style="width: 100%" class="wp-caption aligncenter"><img decoding="async" class="size-full wp-image-193072" src="https://coingape.com/wp-content/uploads/2024/04/Screenshot-2024-04-23-114623.png" alt="The SEC XRP Case Timeline" width="1317" height="1400" srcset="https://coingape.com/wp-content/uploads/2024/04/Screenshot-2024-04-23-114623.png 1317w, https://coingape.com/wp-content/uploads/2024/04/Screenshot-2024-04-23-114623-282x300.png 282w, https://coingape.com/wp-content/uploads/2024/04/Screenshot-2024-04-23-114623-1151x1224.png 1151w, https://coingape.com/wp-content/uploads/2024/04/Screenshot-2024-04-23-114623-768x816.png 768w, https://coingape.com/wp-content/uploads/2024/04/Screenshot-2024-04-23-114623-150x159.png 150w" sizes="(max-width: 1317px) 100vw, 1317px">
 <figcaption id="caption-attachment-193072" class="wp-caption-text">
  The SEC XRP Case Timeline Summary
 </figcaption>
</figure>
<h2 id="strong-conclusion-strong"><strong>Conclusion</strong></h2>
<p>The XRP SEC case is a crucial in cryptocurrency regulation, highlighting difficulties in defining digital assets and following securities laws. Stakeholders closely monitor how the case is affecting regulatory frameworks. Regulators working together with the crypto industry is vital for both innovation and protecting investors, underlining the significance of clear communication and openness.</p>
<p>The post <a href="https://coingape.com/blog/xrp-vs-sec-case-update-the-timeline-of-ripple-lawsuit/" rel="noopener noreferrer nofollow">XRP Vs SEC Case Update : The Timeline of Ripple Lawsuit</a> appeared first on <a href="https://coingape.com" rel="noopener noreferrer nofollow">CoinGape</a>.</p>

XRP Vs SEC Case Update : The Timeline of Ripple Lawsuit

Tabla de contenidos

Coingape News Media

Otros artículos publicados el 23 abr 2024

AWS Expands Accessibility and Control Options

Stay Ahead in Crypto Trading: Harnessing the Power of Discipline

XRP Lawsuit: Lawyer Explains Why ODL Sales Are Not Investment Contracts

Bitcoin Price Explodes: Why Bitcoin is Rising and How High Can the BTC Price Go?

Ripple fires back at SEC, proposes $10M fine amidst $2B penalty saga

Flying Doge Launches on Solana, Looks to Challenge Shiba Inu and Dogecoin

¡Únete a nuestro boletín gratuito para recibir actualizaciones diarias de criptografía!