One of the most valuable companies in the cryptocurrency industry said on Monday that it expected to be sued by the Securities and Exchange Commission for violating investor protection laws. The suit is expected to accuse the San Francisco-based company Ripple of selling unregistered securities when it sold the digital token XRP to investors around the world. The suit, he said, would be against the company along with Mr. Garlinghouse personally, and one of the company’s founders, Chris Larsen. All the outstanding XRP tokens were worth around $22 billion on Monday, making it the third most valuable cryptocurrency after Bitcoin and Ether. The token has turned Mr. Larsen and Mr. Garlinghouse into billionaires.

Source: New York Times December 22, 2020 03:00 UTC