SEC Seeks $2 Billion Fine from Ripple (XRP)

The legal storm between Ripple and the Securities and Exchange Commission (SEC) is reaching its peak of tension. In a recent development, the SEC has proposed a staggering $2 billion fine against Ripple Labs – a record penalty second only to the Binance case.

This information was disclosed by Ripple’s General Counsel Stuart Alderoty himself. According to him, the massive fine proposal is currently under seal by the court but will be officially unveiled on March 26th.

Our response will be filed next month, but as we all have seen time and again, this is a regulator that trades in statements that are false, mischaracterized and designed to mislead. They stayed true to form here. 2/4

— Stuart Alderoty (@s_alderoty) March 25, 2024

This is the latest move by the SEC in the ongoing battle since 2020, where they accused Ripple of unlawfully selling securities in the form of XRP tokens. Despite a partially favorable ruling from the federal court, the SEC remains steadfast in pursuing the lawsuit.

Alderoty declared that Ripple will fight to the end, rebutting the SEC’s request for a hefty fine in April. The legal battle between the two parties has escalated to new heights, with the potential $2 billion fine looming as a decisive blow.

The SEC’s action is part of Chairman Gary Gensler’s cryptocurrency crackdown campaign over the past two years. Rumors of Ethereum being the next target are also circulating. The heat of the fight against cryptocurrencies shows no signs of cooling down.

Related: Ethereum and XRP Maintain Positions Amid Market Volatility

Ripple’s (XRP) price volatility

The cryptocurrency market seems unfazed by this news and remains optimistic, with XRP prices recovering gently, unaffected by the news of the SEC’s massive fine. Will the tension continue to escalate.