Saturday, July 2, 2022

Ripple files a motion to dismiss lawsuit against XRP investors

The Takeaway:

In the latest development in the ongoing legal battle Ripple and XRP investors, Ripple has filed a new motion asking the court to dismiss the lawsuit entirely. The lawyer argued that the court does not need to resolve whether XRP is a security or not.

In the ongoing legal battle between Ripple and some of XRP investors over the alleged issuing of unregistered securities, Ripple has filed a new motion to dismiss the case against them completely. Last year some of the XRP investors filed a lawsuit against the company for allegedly selling them unregistered securities.  

In the recent filing Ripple’s lawyer said that court does not need to resolve whether XRP is a security or not. Ripple is known for dumping huge amounts of XRP regularly for their benefits. The company has also repeatedly claimed that XRP is a decentralized coin even though the majority of it is owned by them. However, during the latest filing, Ripple refused to acknowledge the company’s relationship with the cryptocurrency. 

Lawyer Jake Chervinsky on tweeted that Ripple finally filed their motion to dismiss securities class action lawsuit regarding XRP and they make 12 arguments for dismissal of the plaintiff’s claims. But none of them addresses whether XRP is unregistered security. 

Earlier, CEO of Ripple, Brad Garlinghouse tweeted about the lawsuit saying that SEC guidance isn’t issued by the commission and it is not a law, rule or regulation. He added that XRP is not a security and the UK and other countries have said as much. Let us know in comments what do you think about Ripple’s fresh motion?

Disclaimer: The article reflects the opinions of the author and is not representative of Chaintimes’ views.
The article does not offer any investment advice. User discretion is advised when investing in or trading with cryptocurrency. Extensive and diligent research should be carried out by the reader before making a decision.

Cheng Wei Chan
Cheng Wei Chan
Cheng is an AI & APP Engineer based in Taipei City, Taiwan. After completing his graduation in Computer Science from National Taiwan University, he dedicated his life into researching and writing about technologies such as blockchain, cryptocurrency, artificial intelligence and application development.

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