Ripple got charged with selling of unregistered securities

Ripple got charged with selling of unregistered securities

SEC charged Ripple with selling $1.3 billion in unregistered securities

After last week Robinhood got accused by the Securities and Exchange Commission (SEC) of misleading its clients about how it makes profit, SEC filed charges against Ripple this week.

According to the Commission, Ripple, Christian Larsen, and CEO Bradley Garlinghouse raised over $1.3 billion through an unregistered security offering. Stephanie Avakian, SEC’s Enforcement Division director stated, “We allege that Ripple, Larsen, and Garlinghouse failed to register their ongoing offer and sale of billions of XRP to retail investors, which deprived potential purchasers of adequate disclosures about XRP and Ripple’s business and other important long-standing protections that are fundamental to our robust public market system.” Moreover, Larsen and Garlinghouse conducted personal unregistered XRP sales worth $600 million.

But according to Bradley Garlinghouse, the lawsuit was expected. He didn’t fail to add that SEC’s allegations are “fundamentally wrong as a matter of law and fact,” bringing attention to the fact that his company’s cryptocurrency, XRP is, after all, a currency, and it does not have to be registered as an investment contract.

While Ripple finds itself in a pickle, Bitcoin recently reached an all-time high as it traded at $23,400 after it surged more than 12% on December 17. Since the beginning of the year, it gained over 200%.

Following the news, XRP lost $2 billion in market value, as it traded 12% lower, according to CoinMarketCap.

Read here all about Robinhood’s charges!

Sources: forbes.com, cnbc.com

Maklumat yang disediakan oleh za.capex.com bukan berbentuk tawaran atau permintaan untuk tujuan pembelian atau penjualan apa-apa produk kewangan yang disebutkan di sini atau melibatkan perundngan, atau nasihat mahupun cadangan berkenaan dengan kewangan produk tersebut.

Maklumat ini disediakan untuk edaran umum. Ia tidak mengambil kira objektif pelaburan tertentu, keadaan kewangan atau keperluan tertentu dari mana-mana penerima.

Anda harus bebas menilai setiap produk kewangan dan mempertimbangkan kesesuaian produk kewangan sedemikian, dengan mengambil kira objektif pelaburan tertentu anda, keadaan kewangan atau keperluan khusus, dan berunding dengan penasihat kewangan bebas, sebelum berurusan dalam produk kewangan yang disebutkan dalam dokumen ini.

Maklumat ini tidak boleh diterbitkan, diedar semula, diterbitkan semula atau diedarkan secara keseluruhan atau sebahagian kepada mana-mana individu lain tanpa kebenaran bertulis daripada Syarikat terlebih dahulu.

Prestasi lalu tidak sentiasa menggambarkan prestasi atau kemungkinan masa depan. Sebarang pandangan atau pendapat yang dikemukakan hanyalah pandangan penulis semata-mata dan tidak mewakili za.capex.com.

JME Financial Services (Pty) Ltd, beroperasi sebagai ZA.CAPEX.COM, bertindak sebagai perantara antara pelabur dan Magnasale Trading Ltd, rakan kontrak untuk perbezaan yang dibeli oleh pelabur melalui ZA.CAPEX.COM, yang diberi kuasa dan dikawal selia oleh Cyprus Securities. dan Suruhanjaya Pertukaran dengan nombor lesen 264/15. Magnasale Trading Ltd adalah prinsip utama CFD yang dibeli oleh pelabur."