Ripple intends to expose the XRP holdings of employees of the United States Securities and Exchange Commission (SEC). Specifically, by filing a motion, to force the SEC to disclose its internal cryptocurrency trading policies.
In particular, the court has given the SEC until September 3 to respond to Ripple’s motion. You will need to provide data on the XRP holdings of SEC employees.
Ripple investigates XRP holdings of SEC workers
In this regard, Ripple wants to know if SEC employees ever bought XRP or other digital currencies before January 2018.
By the way, James Filan, an attorney who has closely followed the case, shared the motion seeking to clarify whether the SEC allowed its employees to trade XRP.
In effect, the motion was filed on August 27 on behalf of several defendants, including Ripple Labs. Additionally, Brad Garlinghouse, CEO of Ripple, and Chris Larsen, CEO of Ripple.
It is worth mentioning that the defendants indicated that their previous efforts to obtain the information from the SEC have not been fruitful. «We met and consulted with the SEC on this issue on July 8, July 15, August 18, and August 25, with no progress».
Specifically, the motion asks the United States District Court for the Southern District of New York to force the SEC to submit data on its internal cryptocurrency trading policies.
- Anonymous documents reflecting prior authorization business decisions. Not only for XRP, but also for Bitcoin and Ethereum.
- Certifications on XRP holdings of SEC employees. Either with writing of personal information or in aggregate form.
In fact, if it turns out that the SEC has no restrictions on buying or trading XRP within the organization, you will give credit to the defendants’ claims. That is, the SEC did not have a defined regulatory plan for the crypto industry before suing Ripple Labs.
Will the dispute end?
Today, August 31, Ripple and the United States Securities and Exchange Commission (SEC) return to court for another round of legal disputes. Thus complying with the SEC’s grace period to present documents.
Consequently, attorney Jeremy Hogan said: «This next hearing is very important. Because Ripple could get you some documents that could really help you move forward».
Precisely, as noted in a comment to James Filan’s Tweet: «The SEC can absolutely decide not to follow the court order. What happens after a period of time is that the judge will issue sanctions against you. If the SEC continues to ignore the order, it may ultimately lead to the case being dismissed».
To cap it all, as the discovery phase draws to a close and public reaction intensifies, one wonders why SEC Chairman Gary Gensler would continue to risk his legacy by taking the Ripple case to trial.
I close with this phrase by William Shakespeare: «Cowards die many times before their true death. The brave taste death only once».