The US Securities and Exchange Commission (SEC) has filed a response to a court ruling in the case of Terra Exchange LLC v. Ripple Labs Inc. The SEC argued that the court made a mistake in dismissing the case and claimed that the evidence presented by the SEC was not properly considered. The agency also stated that investors could be harmed if Ripple Labs continued operating without registering its XRP token as a security. The SEC has been investigating Ripple Labs since late 2020 for allegedly violating securities laws. The agency is planning to seek a further review, potentially through an appeal. The SEC’s response also states that the court’s decision in a separate case involving TerraUSD and Luna creators should not be used as a precedent.
AI Sentiment: Negative
