Ripple And XRP Legal Trouble
Ripple Labs Inc. is facing claims that it has violated federal securities laws concerning the sale of its XRP tokens. The Rosen Law Firm is representing investors in the matter and is investing claim.
The firm has a history of successful class action lawsuits. The firm is ranked number one by the ISS Securities Class Action Services due to the number of settlements that the firm worked on in 2017. Two of the firm’s attorneys, Philip Kim and Zachary Halper, are assigned to the current matter.
The plaintiff in the class action lawsuit comprises of investors and they suffered economic law from the purchase of Ripple’s XRP tokens. This is not the first class action law suit against Ripple.
In 2018, Ryan Coffey, an individual on behalf of all other similar, also filed a class-action lawsuit, XRP II’s subsidiary, and Brad Garlinghouse, CEO of Ripple Labs. The complaint alleged that defendants earned massive profits in violation of state and federal securities laws. Further, that the ICO was never-ending and that
“Unlike cryptocurrencies such as Bitcoin and Ethereum, which are mined by those validating transactions on their networks, all 100 billion of the XRP in essence were created out of thin air by Ripple Labs at its inception in 2018.” The complaint further added that, “In other words, unlike some virtual currencies, XRP was fully generated prior to its distribution.”
At this point, it will be interesting to see if the complaint goes forward and if it does, the ensuing course of litigation.