Ripple Looking to Tap Operational License in Ireland to Expand in EU
Despite the headwinds, Ripple has not stopped staying relevant in the blockchain ecosystem and has maintained a very healthy business outside of the United States.
Blockchain payments firm Ripple Labs Inc is looking to expand its presence in the European Union (EU) by securing a license to operate in Ireland. As confirmed by the company’s General Counsel Stuart Alderoty, the move to “passport” its services to the EU through Ireland will be done by a local startup in the country.
Ripple Labs is one of the most distressed companies over the past 2 years, following the lawsuit brought on it by the United States Securities and Exchange Commission (SEC) in December 2020. The market regulator said Ripple was involved in the sales of XRP coins which it tagged unregistered securities and at the time, demanded a payment of $1.3 billion as a fine.
Ripple has disputed the SEC’s claims time and over, noting that its association with XRP is as a payment token to facilitate the cross-border transactions that its business is hinged on. The lawsuit has dragged on considerably with twists and turns experienced by both the SEC and Ripple.
As part of the proceedings, Ripple asked the court to ask the SEC to produce a 2018 statement from one of the top officials of the regulator, Bill Hinman. Per the Hinman statement, the sales of Ether were not considered securities, and the company is building its argument on the same basis.
Both the SEC and Ripple have asked for a snap judgment with respect to the lingering case and while supporters of the entities have filed Amicus Briefs to support their chosen organization, the final legal briefs are due by November 30.
“We are at the beginning of the end of the process in our case,” Alderoty said, highlighting the fact that the judgment for the case may be passed in 2023. Should the judge not find enough basis to pass a judgment, it can refer the case to a jury eventually.
Ripple Building Capacity Outside of the US Despite SEC Brawl
In the early days of the SEC lawsuit, Ripple faced a highly significant strain in furthering its business in the United States as several exchanges delisted XRP coin, and partners including Moneygram International Inc (NASDAQ: MGI) cut off its deal with the payments firm.
Despite the headwinds, Ripple has not stopped staying relevant in the blockchain ecosystem and has maintained a very healthy business outside of the United States. The company currently has about 750 employees globally and about half of them are operating from the US.
Ripple as a company has a presence in the United Kingdom where as many as 60 employees work from. With Ripple deeply involved in money transfers globally, the firm has continued to expand its presence in Asia and the EU and its move into Ireland will notably help compound its efforts in this regard.