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October 4, 2022
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Tetragon will sue Ripple over SEC

One of the main investors in Ripple, Tetragon, sued the company over a SEC lawsuit, while the wave of exclusion of XRP from cryptocurrency exchanges continues.

UK-based investment firm Tetragon Financial Group is suing Ripple for a lawsuit filed by the U.S. Securities and Exchange Commission (SEC). Bloomberg reports about it on this link.

Ripple’s leading C-Series investor, Tetragon, will sue the company

According to the lawsuit, Tetragon intends to “exercise its contractual right to demand the repurchase of Ripple” of its Series C preferred shares. The investor also asks the court to block Ripple’s access to the use of any cash or other liquid assets until payment is made.

In December 2019, Tetragon led a $ 200 million investment round in Ripple.

Tetragon is also asking the court for a precautionary measure and an accelerated trial. Ripple has said that Tetragon’s claim is “unfounded”, since it has not yet been legally established that XRP is an unregistered security, as the SEC claims.

“We are disappointed that Tetragon is trying to unfairly exploit the lack of regulatory clarity here in the United States. The courts will provide that clarity and we are very confident in our position, ”said Ripple.

However, not all Ripple investors decided to leave the company. For example, some XRP investors filed a petition with the Rhode Island District Court by an order from the Supreme Court against the SEC. The petition alleges that the SEC caused irreparable damage to token holders by their actions.

In particular, the plaintiffs argue that by calling the XRP a security, the regulator violated investors’ interests and caused them serious financial losses.

XRP exclusion continues

However, the wave of XRP exclusion from cryptocurrency exchanges continues. The most recent was the investment fund Grayscale Investment, which removed XRP from the high-capitalization cryptocurrency fund (DLC fund), as well as the cryptographic service Blockchain.com.

“3 / $ XRP was removed after the quarterly review of the DLC Fund (12/31/20). No other assets eligible for inclusion. The table below highlights the weightings of the DLC Fund as of January 4, 2021: $ BTC $ ETH $ BCH $ LTC ”

Thus, XRP has already been abandoned by more than fifteen trading platforms worldwide. Keep in mind that the first pre-trial proceedings between the SEC and Ripple are scheduled for February 22, 2021.

At the time of this writing, XRP was trading at $ 0.22 on the Bitstamp exchange.

Source: AtozMarkets

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