Both Ripple and SEC finally admit that Ripple
owes no fiduciary duty to XRP holders in the continuing case. Therefore the XRP army is
all set to serve its own interests in the case. There is much more to this. Do you want
to know more? Then keep watching this video till the end. BUT FIRST, WE ARE GIVING AWAY 25 XRP COINS
AT THE END OF THE MONTH TO 1 RANDOM SUBSCRIBER TO START ON THEIR XRP JOURNEY.
ALL YOU NEED
TO DO IS TO LIKE THE VIDEO, SUBSCRIBE AND COMMENT YOUR THOUGHTS ON XRP IN THE COMMENT
SECTION. WELCOME, XRP ARMY! Let's grow the XRP LAB COMMUNITY by pressing
the like button and subscribe. The United States Securities and Exchange
Commission has registered its Opposition to Ripple's Motion to Force it to answer how
the Howey Test was employed in virtually all of Ripple's transactions in XRP. As per the
filing, the Defendants remained until the end of truth discovery.
More than seven weeks
after winning the SEC's first interrogatory responses, they told the SEC they considered
inadequate responses. The SEC then supplemented five of the issues' responses, gathered and
conferred, and ordered Defendants to identify what specific information they still require. The SEC has substantively explained the interrogatories
at issue as demanded by the Federal Rules of Civil Procedure. In turn, the SEC also
stated that Ripple's argument boiled down to the complaint that they were not satisfied
with the answers they delivered. What's more, the SEC also declared that Ripple delayed
complaints about the SEC's interrogatory responses. This, despite it trying to provide additional
details about the asked information. In any event, the SEC gave Ripple substantive answers
to twelve of its requests for admission on the very topics Ripple presumably will apply
to argue that its acquired a staking requirement was not sufficient.
The SEC's opposition did
not rest well with the community, with many seeking the SEC not manifesting itself. As
per the recent development in SEC's litigation against Ripple, XRP holders serve their interests.
This indicates that the community of XRP followers has stepped up to protect the altcoin from
an adverse impact on its price. Ripple holdings continue XRP's largest public
holder and litigation on the payments giant. This has consistently led to a negative impression
on native asset XRP's price since December 2020. John Deaton, founder of Crypto-Law.us
and an influential XRP proponent, is convinced holders can now perform action. The community
is granting a class-action lawsuit in response to Deaton's call to action. After a flash
crash's decline in the overall crypto market capitalization, the XRP price was retrieved
through a spike in on-chain activity. As per the data from Santiment, XRP price surged
10% after a slight pullback as address activity intensified. Historically an improvement in
unique addresses is accompanied by a lift in price in short to mid-term.
developments in Ripple fuel the bullish narrative of XRP. The news of the Japanese financial
giant's fund is again for Ripple and possible to improve the utility of the native asset
XRP. Analysts have prophesied that XRP's price
action will be defined by its behavior within a tight range, implying that the altcoin is
expected to hit $1.60 soon. In a confrontation over documents in the U.S. Securities and
Exchange Commission's epic clash with Ripple Labs Inc, the blockchain company's subjective
great faith in selling more than $1.3 billion in XRP digital tokens led to be beside the
point. Judge Sara Netburn, the U.S. Magistrate of Manhattan, ordered on Sunday that Ripple
did not disregard attorney-client privilege when it presented in March, in answer to the
SEC's complaint challenging the company of selling unregistered securities, that the
SEC failed to give clear notification if XRP was subjected to federal securities rules.
The ruling suggests Ripple does not have to turn over hundreds of privileged documents
to the SEC.
A few months ago, the commission disputed in a letter brief to Netburn that
Ripple's affirmative proper use defense had placed all of the company's legal guidance
about XRP. The SEC already has possession of records composed by Ripple's outside counsel
about whether XRP satisfies the U.S. Supreme Court test for security. Ripple provided those
documents to the SEC during the commission's years-long investigation of XRP sales before
the SEC-registered its complaint last December. But the SEC explained in its letter brief
to Netburn that it must see hundreds of additional legal documents for which Ripple was still
claiming privilege to expose the company's fair notice defense. Ripple, the SEC said, was well informed that
XRP could be considered securities, as its counsel suggested in memos that the company
shared with investors. By declaring that it did not receive fair notice, the SEC argued,
the company had begun to inquire about its state of mind in trading XRP.
And though its
artfully drafted response to the SEC complaint did not explicitly mention the company's good
faith. Ripple, they said, did not dispute in its affirmative defense that it had relied
on its lawyers' counsel that it had worked in good faith. The company claimed that it
was deprived of due process because the SEC sank for eight years, as the market for XRP
expanded, to clarify whether the digital tokens are secure. The relevant precedent, as per Ripple, was
not Bilzerian but the 2nd Circuit's 1996 decision in Upton v. SEC. In that instance, the appeals
court highlighted that Upton's fair notice defense was not based on his subjective view
of his conduct but on his contention that the SEC declined to provide fair warning of
the prohibited behavior to market partners.
Ripple replied it's no accident that the SEC
couldn't discover any cases in which courts held attorney-client privilege was declined
by a defendant alleging an Upton-style fair-notice defense. Ripple did not place its subjective
state of mind or advice of counsel at issue simply by raising the defense. The state of
mind of the SEC of whether XRP is security, not Ripple's, is a significant issue in the
case. The magistrate judge earlier ordered the SEC to produce documents revealing its
internal considerations on whether XRP, Bitcoin, and Ether are currencies or securities.
was accurate in saying that her ruling is limited to whether Ripple suspended privilege
by asserting a fair notice defense. It was not opening on the ultimate merits of the
reason. The SEC questioned U.S. District Judge Analisa Torres, supervising the case, to discover
that defense entirely, claiming that it has provided plenty of notice to the cryptocurrency
market via more than 70 enforcement actions against issuers. Ripple said in its response
brief that the facts are so vigorously debated that the defense can't be settled on a motion
Ripple general counsel Stuart Alderoty stated in an email statement that he's pleased.
The court made it evident that the proper focus of Ripple's defense that the SEC failed
to give fair notice to the market is on the SEC, not on Ripple. The SEC is already aware
of Ripple's outside legal advice about XRP, although the two sides bitterly differ in
what those memos said. They've been disclosed in court filings but remain under seal. The
SEC had told it required the rest of Ripple's privileged documents for upcoming depositions
of company witnesses. After Netburn's ruling, the government seems to be limited to what
it already has.
Opinions represented here are those of the author. For five years, investors
and project developers in the $2 trillion blockchain innovation space have been constrained
to an increasingly annoying charade that the U.S. Securities and Exchange Commission (SEC)
has called "regulatory clarity." Years of SEC speeches, public statements, meeting records,
correspondence, and first-hand accounts from market participants provide anything but clarity
for the laws on digital assets or distributed ledger technology (DLT) projects. This is
another financial crisis in the making. Other crypto companies have been lending products
to customers who hold digital assets, and the only publicly listed exchange in the U.S.
wanted to do the same.
The SEC acknowledged with subpoenas for records and depositions,
required a list of all their clients who had expressed interest in the product and finally
issued a warning of impending enforcement action. The U.S. has experienced a fintech
boom, but that doesn't intend to continue. The continued clarity charade is encouraging
fintech innovators and investors abroad. The SEC is supposed to provide clear, unambiguous
rules through a transparent process. Lack of clarity has created a financial crisis
before, and it can occur again. One of the greatest challenges for traders and investors
is whether or not to invest in XRP. It is far more affordable than most other cryptocurrencies
in the overall crypto market at its current rate. This makes it convenient to buy for
many investors and suitable for mass adoption and informational purposes.
it seems to offer, such as the speed of transactions and low charges, would make it seem like a
good investment with more potential for institutional backing and developments soon. If you want to continue knowing about XRP,
we have two more videos waiting for you on the end screen to check out. Make sure to
subscribe and give us a thumbs up! Thank you so much for watching; see you in
the next video. Kindly note that prices of cryptocurrencies
frequently change, so by the time you watch this video, it might have changed to a whole
The information provided in this video does not constitute investment advice,
financial advice, trading advice, or any other sort of advice. It would help if you did not
treat any of the content as such. The content in this video is for educational purposes
only and hence should not be considered as financial advice. Do conduct your own due
diligence and consult your financial advisor before making any investment decisions..