Ripple is stepping up its fight with the US Securities and Exchange Commission. The blockchain company offered its official response to the first amended SEC complaint, claiming that it “did not sell or distribute XRP as an investment contract.”
He argues that the SEC “ignored” and “misidentified” the economic realities of the token, which recorded more than 1.4 billion transactions globally.
Ripple’s general counsel Stu Alderoty says Ripple is also looking forward to learning more about the SEC’s meetings with market participants and the alleged failure to not alert them to the securities situation of XRP.
SEC case, Co-Founder (Jed McCaleb), Arthur Britt and David Schwartz state that they are responsible for creating 100 billion XRP tokens “at low cost”. Ripple denies this claim in Schwartz’s response, although Schwartz made it clear in his tweet published a few months before the SEC case that it was the “almost identical people” who created Ripple:
“The creators of XRP are pretty much the same as the creators of Ripple, and they originally created Ripple to distribute XRP, among other things.”
Ripple, which holds a “large percentage” of the cryptocurrency, is similar to Exxon’s oil hold, according to the company’s latest claim:
“Many organizations own large quantities of commodities and participate heavily in the commodity markets. Exxon owns large quantities of oil, De Beers large amounts of diamonds, Bitmain and other Chinese miners largely have extraordinary Bitcoins. ”
The company claims that there is insufficient information about the sales of its executives, who recently sent two separate letters to dismiss the case. Still, Ripple admits that its employees are observing the “transaction price and volume” of the token:
“Ripple denies claims to the extent that any response is necessary, but acknowledges that Ripple employees occasionally observe the trading price and volume of XRP.”