Ahmet Bedirhan Arvas 
According to Stuart Alderoty, the Chief Legal Officer, the United States Securities and Exchange Commission (SEC) had asked Ripple to acknowledge that XRP was a security in 2020 and had given a short period to comply. Alderoty, Ripple’s Chief Legal Officer, mentioned that the SEC had proposed a settlement before filing a lawsuit.
On the third anniversary of the lawsuit, Alderoty shared the terms of the settlement proposed by the SEC. The regulator had demanded that Ripple declare XRP as a security and provided a very short time for the markets to become compliant.
On December 22, 2020, the SEC had accused Ripple’s co-founder Christian Larsen and CEO Brad Garlinghouse of a $1.3 billion unregistered securities sale.
According to Alderoty’s statements, the SEC had requested Ripple to publicly announce that XRP was a security in 2020 and had given a short period for compliance. Ripple defended that XRP was not a security and opposed the SEC’s request. The company also stated that the regulator was inadequate in creating a suitable regulatory framework for crypto.
Alderoty emphasized that the SEC did not provide clear rules for crypto compliance. Even three years after the XRP case, the regulator has not been successful in establishing compliance for the crypto sector; instead, it has targeted major crypto companies like Binance and Coinbase.
Alderoty stated that their goal, based on the lawsuit, is to establish that XRP is not a security and argued that the existing securities laws in the United States are not suitable for crypto assets.
Also, you can freely share your thoughts and comments about the topic in the comment section. Additionally, don’t forget to follow us on our Telegram, YouTube, and Twitter channels for the latest news and updates.