1) as an #XRPHolder, the SEC filed the case 🆚 @Ripple to protect me and my friends;
2) me and 6 friends filed a Writ asking the SEC to amend the Complaint limiting the allegations to only include claims against Ripple and how it offers and sells XRP;
3) the SEC opposed our Writ and refused to limit the charges only against Ripple;
4) 12,500 of my friends asked to intervene in the case because the SEC’s claims included secondary market sales by anyone - they said XRP is a security per se;
5) although the SEC filed the case to protect me and my friends, they objected and said we shouldn’t be heard in court:
6) the SEC got mad when we insisted on being heard so they personally attacked the Lawyer saying he promoted drug use and threatened violence 🆚 SEC folks;
7) the judge granted amicus status and allowed the violent drug promoting lawyer to participate in the case but we found out the SEC hired an expert to help protect us -
this expert is going to explain to the Court exactly why we purchased XRP, what we considered, what we read, and what we relied on before buying XRP;
8) when we asked could our lawyer read the report since it’s about us anyway, and since this expert was hired to protect us, there shouldn’t be an issue, but the SEC said no way and that if we ask to read it the SEC might need more time to prepare;
9) the 12,500 has turned into 67K and we asked the judge to let us be heard regarding the guy who is going to speak for us and tell the court exactly what we think;
10) the SEC asked for more time to write ✍️ and perfect the objection against us being heard on the topic of us;
I must admit, it is a unique form of protection.
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On August 20, 2018 @bgarlinghouse & @JoelKatz met w/ Clayton & Hinman. This meeting was 2 months after Hinman declared #ETH a non-security, but did not mention #XRP.
Also 2 months prior, on June 13, 2018, SEC enforcement lawyers wrote a 📝 analyzing whether #XRP was a security.
Since #XRP was not included in the Hinman free pass, at this meeting, Garlinghouse spoke out, informing Clayton & Hinman that @Ripple was living in a state of “purgatory” over the lack of clarity regarding #XRP, especially when compared to #ETH which was given a green light.
IF the June 13, 2018 #XRP 📝 concluded #XRP was a security, one would believe that Clayton or Hinman would’ve responded to Garlinghouse’s purgatory comment that the reason #XRP was NOT included in the free pass was b/c SEC lawyers had determined that #XRP was in fact a security.
I’m going to answer this question b/c so many people have the same question and more importantly, some people have taken shots at the Judge because she has “allowed the case to go on this long.”
The question👇asks “w/ all the information/ evidence being presented to the Court.”
The fact is that evidence hasn’t been presented to the Court yet. The evidence gets presented in the summary Judgment briefs. Each side will tell the judge what the indisputable facts are. That is why Ripple is seeking a motion to compel to force the SEC to admit certain facts.
After summary judgments are filed, then the Court decides the case. The judge hasn’t dismissed the case based on the conflicts and corruption claims because Ripple hasn’t filed a motion to dismiss based on those claims.
@HesterPeirce admitted conflicts screening is important and must be managed. SEC Officials, including Hester, NEVER discuss specific projects or tokens. After the Hinman speech the SEC, including Hinman and Clayton, refused to comment on other tokens.
WHY DID HINMAN HIGHLIGHT #ETH AND GIVE THE FREE PASS?
It is literally the only time a senior official at the SEC discussed the security status of a specific token.
Considering how rare it is to discuss a project, you would think the speech would’ve been screened for conflicts!
It WAS NOT. How do I know? I know that it wasn’t screened for conflicts b/c the most basic elementary conflicts check or analysis would’ve discovered the massive conflicts of interest and the gross appearances of impropriety.
When the SEC sued @Ripple and #XRP tanked and people got liquidated and lost their life savings, some people said “they deserve it for being stupid” or “for investing in a shit coin.” I see similar comments regarding #Luna / #UST. People make mistakes. We all have at some point.
Financial education, especially in the United States 🇺🇸, is nonexistent. Unless your an evil human being, you don’t “deserve” to be financially devastated. Some very successful financially savvy people were high on #Luna, just as some were / are on #XRP.
Hell, @novogratz got a #Luna tattoo and he is as sophisticated as investors come. The point is smart people were invested. I’m not excusing laziness and I’m not suggesting that you should feel sorry for anyone b/c they made a bad decision or what you consider a stupid decision.
The violations are in regards to the regulation of cryptocurrencies and possible financial conflicts of interest involving former Director of Corporation Finance William Hinman.
On May 9, 2022, @EMPOWR_us sent a referral of this evidence to the Office of the Inspector General at the SEC.
@HesterPeirce has a tough and frustrating job. I get now exactly what she meant when she told @ThinkingCrypto1 that she spends some of her time trying to get her colleagues at the SEC to STOP viewing the token as the security. Read the comment below. 👇
“Something can transform from a security to a non-security.”
Although not incorrect, it is not the proper way to evaluate investment contracts. Any commodity or asset can be offered as a security. There was a case where #BTC was declared a security b/c of how it was offered.
Stanford Law Professor Joseph Grundfest in the video below in 2015 says sometimes #BTC is a security and sometimes it is not.
The fundamental concept seems to be lost on the SEC. they focus on the underlying asset too much. It’s intellectually lazy.