In a new letter to the judge, the US Securities and Exchange Commission explained why they wanted to see the financial records of the Ripple founders. The SEC claimed that Chris Larsen had “evidence of the use of XRP” despite the lawsuit filed.
The SEC wants access to the bank accounts of the company’s founders despite Ripple’s objection. The March 17th letter to Judge Sarah Netburn stated that these records show how much money Ripple founders have made from selling XRP.
The letter was sent after Ripple stated that it had found the request to be inappropriate.
Can still use XRP
According to the SEC claim, Ripple founder Brad Garlinghouse made $ 159 million in revenue in 2017 from the XRPs he’s been selling since 2015. Garlinghouse is believed to have made a total of 115 different transactions and transferred at least 636 million XRPs since that date.
It is stated that Larsen started sales in 2013 and used 7.1 billion XRP in total. It was announced that the name, which is believed to have sold at least 1.7 billion XRPs since 2015, had sales of $ 450 million. The SEC’s new allegation is that Larsen continued to use XRP after the lawsuit was filed.
It is reported that these transactions are carried out anonymously on the blockchain.
The SEC says banking records can remove this anonymity. The letter submitted to the judge emphasized that the balance in their bank accounts at the time of the said XRP transfers will be taken into account, not the couple’s “personal expenses”. As a result, information on transactions under $ 1,000 is not available.
SEC officials state that XRP is not a legal payment instrument and is not accepted worldwide. Bank records show how much money Garlinghouse and Larsen made selling XRP.