Ripple Addresses Allegations of XRP Price Suppression, Legal Analyst Asserts
San Francisco-based fintech firm Ripple has submitted a response to support its motion to seal documents related to the US Securities and Exchange Commission’s (SEC) motion for judgment and remedies. The company clarified that it has ceased selling XRP tokens through over-the-counter transactions. It emphasized that the sales of XRP to customers using Ripple’s On-Demand Liquidity (ODL) product do not include the discounts offered to sophisticated counterparties found in over-the-counter contracts. Legal analyst Bill Morgan hailed Ripple’s statement as a “crushing blow” to those who spread fear, uncertainty, and doubt (FUD) regarding the company’s alleged suppression of XRP prices by selling tokens to retail investors. Morgan further stated that Ripple’s sales to ODL customers have no impact on the XRP token’s price, which has consistently lagged behind Bitcoin and the wider cryptocurrency market. In its letter, Ripple also argued that its current financial statements are irrelevant to the court’s analysis, as it does not dispute its ability to pay potential fines and penalties. The SEC is seeking information on Ripple’s sales, revenues, and current assets, but Ripple contends that such disclosures may harm its business operations.