Ripple XRP Class Action Suit and Official Fraud ReportingFebruary 27, 2020
Ripple XRP launched an official fraud reporting procedure. The foul play on the XRP community about anything fraudulent related to XRP can be published on the official page. This move is the most needed in the financial industry. By implementing the method, Ripple XRP has created the air of assurance for their investors.
Sydney Ifergan, the crypto expert, tweeted: “Under the Ripple XRP Fraud Reporting system, the funds are not reversed. If Ripple XRP would make it possible, it would reign in global finance. Tough in reality, though!”
This is not a breakthrough innovation, because the company, even in the past without the presence of such a page, would still know the event from some other source. They post warnings on Twitter, and the news spreads like wildfire. The action follows. A fraudulent event leaves the community with no place. Previously, a theft creates a buzz, and the community feels orphaned. Though a lot has not changed and will not change with the current page, the community will feel less orphaned. Very soon, the company will bring in more strategies to facilitate solid solutions, hopefully.
The strong willingness to fight crime is appreciable, though.
Ripple, however, clarifies that Ripple will not be able to reverse the transactions due to the decentralized XRP ledger. It also expressed that all XRP users are not Ripple customers. Therefore, the current attempt can help identify fraud; however, it cannot be used to compensate victims.
Ripple XRP Class-Action Suit
U.S. District Judge Phyllis Hamilton, of the Northern District of California, permitted a class-action lawsuit initiated by retail XRP buyers. Hamilton ruled that the suit can include claims under federal law, but he dismissed some claims under California state law. However, the Plaintiffs will refile some of their claims under the California law under an amended complaint again.
The judge wrote, “While defendants did acknowledge various 2013 offers and sales in their May 2015 settlement with the USAO [U.S. Attorney’s Office for the Northern District of California], the sales activity identified in that settlement does not show that defendants targeted the general public when offering to sell XRP.”
“The investors claimed they lost money after selling their XRP tokens because Ripple’s promotional statements duped them.”
Ripple can’t escape XRP, lawsuit it says could topple market! However, in the real-time world, there is a lawsuit initiated against literally everyone, and it has nothing to doom the business. Every buy happens with customer compliance and risk acceptance.