XRP lawsuit: SEC files opposition to Ripple's motion

SEC declares that pre-clearance for XRP trading are an ethical goal

XRP-KlageXRP-Klage

The SEC has appealed the court’s denial of Defendant’s discovery request in its dispute to preclear XRP trading. Plaintiff alleges that the data contains confidential financial information collected by the SEC’s Office of Ethics Counsel to ensure that employees comply with the Commission’s ethical standards.

Moreover, it has nothing to do with determining whether transactions comply with the SEC’s securities laws. Moreover, the SEC argues that Ripple’s request has a low threshold of relevance and constitutes an unwarranted intrusion into the SEC staff’s sensitive financial information.

The Commission points out that the Preclearance Rule expressly states that in approving a request to enter into a financial transaction, it is not making a determination as to whether the transaction complies with the securities laws. This express statement by the Board of Ethics renders Defendants’ requested preclearance irrelevant.