By Roland Li | San Francisco Chronicle
The Securities and Exchange Commission is seeking a nearly $2 billion fine against San Francisco tech company Ripple over its sale of its XRP cryptocurrency token.
The agency said in a filing in New York federal court, which was unsealed Tuesday, that Ripple violated securities laws by selling the token to institutional investors and continues to do so. A federal judge ruled last July that the company violated investor protection laws by selling to institutional investors but not individuals.
Civil claims against CEO Brad Garlinghouse and Chairman Chris Larsen were dropped last year.
Ripple executives slammed the SEC and its Chair Gary Gensler on X, formerly Twitter.
“Gensler’s SEC has become unhinged. This will not, and should not, go unnoticed in an election year, as the SEC singlehandedly thinks it’s above the law, dragging the US further behind other G20 countries,” wrote Larsen, who is a prolific political donor and philanthropist in San Francisco.
Read more at: San Francisco Chronicle
