The attempt by the XRP token holders to join the US Securities and Exchange Commission against Ripple as a third party accused may have ended.
According to court records, federal judge Analisa Torres has rejected a request filed by more than 6,000 XRP holders over the weekend. The motion for intervention argues that the interests of the token holders – in this case the XRP army – were not adequately represented in the lawsuit against Ripple and its executives.
Torres denied the motion “unscathed,” which means that attorneys representing XRP investors can resubmit in the future. The filing included a pre-registration letter to the Securities and Exchange Commission (SEC) giving them an opportunity to respond.
Under court rules, the SEC has three business days to respond to such a request, but has requested an extension until March 22. It is unclear whether this extension, if granted, would also allow a legal team representing XRP token holders to submit requests to intervene. Subject to an extension by the court, XRP investors may not have a seat at the table in the SEC case against Ripple.
Deaton’s law firm’s John Deaton first filed to intervene on Sunday and later claimed on the firm’s website that XRP owners suffered $ 15 billion in losses after the SEC announced their lawsuit against Ripple. The price of XRP fell more than 60% from $ 0.58 to $ 0.21 in December, but is up to $ 0.48 at the time of publication.
Last year the SEC hired Brad Garlinghouse, CEO of Ripple, and Chris Larsen, co-founder, to conduct an “unregistered, ongoing offering of digital asset securities” for their XRP sales. Many crypto exchanges have since announced that they will suspend trading in XRP or delist the token. In addition, the global money transfer service MoneyGram has ended its longstanding partnership with Ripple.
