Final Verdict Ripple Vs. SEC, Fines and Winnings

Bittime – Updates from the Ripple Vs. SEC. This time Ripple was fined $125 million. However, this amount was recorded as too small compared to the nominal amount desired by the SEC.

Hakin Accepts SEC Request

Ripple Vs. SEC is still ongoing. This time, Ripple was fined $125 million by the court as part of a long legal dispute with the United States Securities and Exchange Commission (SEC).

This ruling is the result of the SEC's request for sanctions and a final ruling. Judge Analisa Torres of New York partially granted the SEC's request and imposed fines and prohibitions on Ripple from violating securities laws in the future.

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The Beginning: SEC Accuses Ripple of Accumulating Billions of Dollars in Funds

Previously, in 2020, the SEC accused Ripple of raising $1.3 billion through the sale of XRP, which is considered an unregistered security.

However, in an earlier decision, Judge Torres stated that some of Ripple's sales of XRP did not violate securities laws, particularly sales through a closed bid process.

Fines for Ripple Too Low

The fine imposed on Ripple was lower than the SEC's request of $2 billion. Ripple itself previously filed an appeal asking for a lower fine, around $10 million.

In addition to the fine, Ripple was also prohibited by the court from violating securities laws in the future. Nonetheless, the court stated that Ripple's sale of XRP after the lawsuit was filed was not necessarily unlawful.

Ripple Still Considered Winning

This decision is considered a victory for Ripple, although there are still a number of restrictions. Ripple CEO, Brad Garlinghouse, stated that this decision provides clarity for the company to continue developing.

However, the SEC also emphasized that this decision does not absolve Ripple of wrongdoing in selling XRP without permission. Authorities stressed that securities laws apply to all companies, including those operating in the world of technology.

With this decision, the crypto industry is back in the spotlight, especially regarding digital asset regulations. The Ripple case sets an important precedent in defining the boundaries between cryptocurrencies and securities.

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Impact of Ripple Ruling on Crypto Markets

The court ruling against Ripple provides partial legal certainty for the crypto industry, but also raises new questions.

1. Positive Impact of the Results of the SEC Lawsuit against Ripple

• Regulatory Clarity: This ruling provides guidance on how crypto token sales can be categorized as securities. This could help other crypto companies avoid similar legal issues.
• Increased Investor Confidence: Regulatory clarity can increase investor confidence in the crypto industry as a whole.
• Innovation Stimulus: With legal certainty, crypto companies can focus more on product and service innovation.

2. Negative impacts that occur

• Mass Adoption Prevention: This ruling may slow down crypto adoption by large institutions, as they may still be hesitant to invest in assets that carry high regulatory risks.
• Unbalanced Competition: Some crypto companies may have a competitive advantage due to different token sale strategies.
• Prolonged Uncertainty: Despite progress, legal uncertainty regarding crypto still exists, which could hinder the industry's growth.

Implications for Investors

Crypto investors need to pay close attention to regulatory developments. Portfolio diversification is important to reduce risk.

Additionally, understanding the characteristics of each token and crypto project is also necessary to make the right investment decisions.

How to Buy Crypto on Bittime

You can buy and sell crypto assets easily and safely via Bittime. Bittime is one of the best crypto applications in Indonesia which is officially registered with Bappebti. 

To be able to buy crypto assets on Bittime, make sure you have registered and completed identity verification. Apart from that, also ensure you have sufficient balance by depositing some funds into your wallet. For your information, the minimum purchase of assets on Bittime is IDR 10,000. After that, you can purchase crypto assets in the application. Study Complete Guide How to Buy Crypto on Bittime. 

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