Judge Fines Ripple $125M, Bans Future Securities Law Violations in Long-Running SEC Case
Fine and Violation:
A federal judge slapped Ripple with a hefty $125 million fine for violating federal securities laws.
The violation stemmed from 1,278 institutional sale transactions by Ripple.
Interestingly, the fine is much lower than the $1 billion disgorgement and $900 million civil penalty the SEC initially sought.
🤑💸
Programmatic Sales Not Violated:
The judge clarified that Ripple’s programmatic sales of XRP to retail clients through exchanges did not violate federal securities laws.
🙌🏼🚀
Injunction and Future Violations:
The judge imposed an injunction against Ripple to prevent future securities law violations.
While not explicitly accusing Ripple of current violations, she expressed concern that the company might “cross the line” in the future.
🚫📉
Registration Requirement:
Ripple must file a registration statement if it intends to sell any securities going forward.
📝📊
SEC’s Next Move:
The SEC is likely to appeal the judge’s ruling, especially now that a sentence has been imposed.
Previously, the same judge denied the SEC’s motion for an interlocutory appeal.
🤔📢
XRP Price Reaction:
Following the judgment, the price of XRP increased by 3 cents (around 2%).
📈🎉
Remember, this is a complex legal situation, and the crypto world is always full of surprises! 😄🌟
