SEC accuses Ripple of past violations related to ODL sales in ongoing legal battle

Key Points
– The SEC accuses Ripple of engaging in ODL sales practices reminiscent of past violations.
– The judge lacks evidence to determine if Ripple’s ODL sales are unlawful.
– The SEC demands $2 billion in fines, while Ripple argues for a maximum of $10 million.
The enduring legal battle between Ripple and the US Securities and Exchange Commission (SEC) has entered a new phase, intensifying scrutiny on Ripple’s On-Demand Liquidity (ODL) sales.
Recent developments and accusations from the SEC suggest that Ripple’s ODL sales practices mirror past regulatory breaches. Legal experts have shared their insights on the ongoing litigation.
SEC Allegations Regarding ODL Sales
Pro-XRP lawyer Bill Morgan recently revealed the SEC’s concerns about Ripple’s business practices. The SEC claims that Ripple’s conduct is alarmingly similar to previous violations, raising regulatory red flags.
Morgan highlighted the lack of evidence for the judge to make a conclusive ruling on Ripple’s current ODL sales practices. The SEC may challenge the summary judgment issued in July, further complicating the legal landscape.
SEC Seeks $2 Billion Fine
On the other hand, Pro-XRP lawyer Fred Rispoli anticipates that Judge Torres will deliver a verdict on fines by the end of July or early August. The SEC is pushing for $2 billion in fines, while Ripple argues for a significantly lower penalty of $10 million.
Despite the possibility of a settlement, Rispoli believes the chances are currently slim. However, there is still potential for the SEC and Ripple to resolve certain issues in the ongoing legal proceedings.
Impact on XRP Price
The uncertainty surrounding the legal battle has had a significant impact on XRP’s market performance. XRP is currently trading with a bearish sentiment, experiencing a 0.43% decline to $0.48. Despite this, the XRP trading volume has surged by 8%, reaching $1.1 billion, with a market cap of $26.5 billion.