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The US Securities and Exchange Commission (SEC) rejected Ripple's appeal against a $2 billion fine.
Ripple cited an example to ease the penalty imposed on Terraform Labs. However, the SEC did not accept Ripple's demands, emphasizing that these two situations were different.
SEC lawyers said, "Ripple is misleading the court by citing the settlement in the Terraform case as a reference for this case. In the Terraform case, the company went bankrupt, agreed to burn all the keys to its crypto asset securities, pay back a significant amount to investors, and dismiss two board members at the time the violations occurred." said.
It was interpreted as "Ripple does not accept these articles. In fact, Ripple does not accept anything."
Terraform agreed to pay $4.47 billion last month within the framework of its agreement with the SEC. According to the agreement, Terraform's founder Do Kwon will not be able to manage a public company again.
How much will be paid?
Ripple offers to pay a $10 million penalty, different from the SEC's $2 billion penalty request. SEC lawyers stated that if the penalty rate in the Terraform case is taken into consideration, Ripple should be fined $102.6 million.
Stuart Alderoty, Ripple's General Counsel, said, "The court clarified that XRP is not a security. Those who were harmed have no claim for compensation. The worst-case scenario for the SEC is that Ripple continues to grow. But at least the SEC will accept the absurd $2 billion "He seems to have given up his request for punishment," he said.
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