Ripple Labs yesterday filed its response to the US Securities and Exchange Commission's (SEC) request for the company to pay nearly $2 billion in fines.
The regulator had previously stated that Ripple had violated securities laws by selling XRP to institutional investors, but Ripple argued that the amount should not exceed $10 million.
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In a public statement, Ripple's chief legal officer Stuart Alderoty expressed confidence in the fairness of the ongoing legal battle, stating that the SEC's request was yet another example of its focus on the entire crypto sector.
While a judge ruled last year that some of Ripple's sales did not constitute a violation of securities laws, she did recognize that direct sales to institutional investors were considered securities.