In a significant move in the ongoing legal skirmish between the Securities and Exchange Commission (SEC) and Ripple Labs Inc., the SEC has filed a motion with the Southern District of New York.
On January 11, the agency sought to compel Ripple to yield financial documents and details regarding its XRP sales. In particular, the SEC framed the action as critical for determining appropriate remedies for what they deem necessary.
Notably, the filed motion specifies a request for Ripple’s financial statements from 2022 to 2023. Moreover, request post-complaint contracts that dictate what the SEC calls “Institutional Sales.” Judge Analisa Torres previously determined these sales to be unregistered offerings and sales of securities, according to the motion.
Ripple, despite its participation in the remedy-focused discovery process, has staunchly opposed revealing post-complaint discovery documents. However, the SEC refutes Ripple’s basis for refusal, citing a court order.
Interestingly, Ripple spent 100 million XRP worth approximately $56 million this week as part of its monthly unlocks. The company still holds another 100 million tokens from the 200 million XRP kept in January.
All things considered, this recent motion puts extra pressure on Ripple, which could affect XRP’s selling and market value.
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