Ripple argued the fine was lower than the SEC's $2 billion request, citing Terra's case

Ripple Labs' attorneys are seeking to take advantage of recent Court rulings applicable to Terraform to reduce the fine in their case with the U.S. Securities and Exchange Commission (SEC).

Ripple, which has been in a lengthy legal battle with the SEC over the past few years, called the agency's proposed financial penalties unreasonable in a “notice of additional jurisdiction” posted on Thursday. Year. The firm compared the SEC's proposed $2 billion fine for the sale of XRP to institutional investors to the fines against Terraform Labs. Ripple has argued that their fine should be around $10 million.

Terraform agreed to pay $4.47 billion in fines on Wednesday and then on Thursday, a judge signed off on the deal.

“The civil penalties sought by the SEC in the Terraform case demonstrate the unreasonableness of the civil penalties sought by the SEC in this case,” Ripple lawyers said. “As Ripple's objection explains, in similar (and even more serious) cases, the SEC has agreed to civil penalties ranging from 0.6% to 1.8% of revenue of the defendant. Terraform fits that model.”

Ripple also cited an April jury verdict that Terraform Labs and co-founder Do Kwon committed civil fraud.

“Here, by contrast, the SEC seeks a civil penalty far beyond that scope, even though there was no allegation of fraud in this case and the Institutional Investors did not suffer major losses,” the attorneys said. know. “Terraform therefore confirms that the Court should dismiss the SEC's unprecedented and disproportionate request and that an appropriate civil penalty would not exceed $10 million.”

The SEC did not immediately respond to a request for comment.

The SEC and Ripple have been arguing in court for years after the SEC accused the company of raising $1.3 billion through the sale of XRP, which it said was an unregistered security. Last year, New York Judge Analisa Torres ruled that some of Ripple's sales, known as program transactions, of XRP did not violate securities laws because there was a blind auction process for them. However, she also ruled that other direct sales of tokens to institutional investors were securities.

From our perspective, Ripple's lawyers are very smart to take advantage of every loophole in the SEC's actions to protect their rights.

Source: https://tapchibitcoin.io/ripple-lap-luan-muc-phat-thap-hon-so-voi-yeu-cau-2-ty-do-la-cua-sec-trich-dan-truong- hop-cua-terraform.html