The cryptocurrency markets have been red hot over the last few months. With many cryptocurrencies up double to triple digits, it’s reasonable for Invstrs to sit down and scratch their heads trying to find out where things may be going.
For fintech company Ripple, the company well known for its release of crypto XRP, they’ll be forced to face charges filed by the Securities and Exchange Commission. The company, along with two of its executives have been charged for allegedly violating investor protection laws.
In the case, The SEC alleged that Ripple’s co-founder (Christopher Larsen) along with the company’s CEO (Bradley Garlinghouse), had raised over $1 billion in an unregistered securities offering.
The director of the SEC’s Enforcement Division (Stephanie Avakian) presented a press release that explained the matter at hand as follows:
“We allege that Ripple, Larsen, and Garlinghouse failed to register their ongoing offer and sale of billions of XRP to retail investors, which deprived potential purchasers of adequate disclosures about XRP and Ripple’s business and other important long-standing protections that are fundamental to our robust public market system.”
With that being said, will the public perception of the cryptocurrency itself, change? How do you feel about the cryptocurrency?
I am not a financial advisor and my comments should never be taken as financial advice. Investments come with risk, so always do your research and analysis beforehand.