“In Ripple’s Series C investment agreement, there is a provision that if XRP is deemed to be a security on a go forward basis, then Tetragon has the option of having Ripple redeem their Ripple equity. Since there has been no such determination, this lawsuit has no merit. We are disappointed that Tetragon is seeking to unfairly take advantage of the lack of regulatory clarity here in the U.S. The courts will provide this clarity and we are very confident in our position,” the blockchain company wrote on its website.
Ripple vowed to fight the SEC charges
The XRP token lost most of its value due to the SEC lawsuit, and with major cryptocurrency platforms suspending XRP usage for U.S. traders, the company might be facing a huge financial problem soon.
Nevertheless, CEO Garlinghouse said that the company doesn’t have many U.S. users and it’s actually planning to move its business to Japan consequently.
Additionally, many company’s supporters signed a petition and said that the SEC’s claims are false, and can harm many XRP holders despite being non-arguments. Stuart Alderoty, Ripple’s general counsel said on Twitter “The SEC complaint only “alleges.” Nothing has been determined. That’s what Courts are for. That’s it. That’s the tweet.”
