According to Stuart Alderoty’s post, in 2020, the SEC requested Ripple to acknowledge publicly that XRP was a security asset and allowed a brief window for compliance.
Ripple chief legal officer Stuart Alderoty disclosed the content of the United States Securities and Exchange Commission’s (SEC) settlement proposal before the agency filed a lawsuit against the compant in December 2020.
Looking back on the third anniversary of the lawsuit, Alderoty mentioned the settlement terms proposed by the SEC before initiating the case. He explained that before suing Ripple, the SEC suggested a settlement: publicly declaring XRP (XRP) as a security and allowing the market a brief period to “come into compliance.”
On Dec. 22, 2020, the SEC accused Ripple’s co-founder, Christian Larsen, and CEO, Bradley Garlinghouse, of conducting an unregistered digital asset security offering to raise over $1.3 billion.
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Source: https://cointelegraph.com/news/ripple-legal-chief-unveils-sec-xrp-settlement-offer-pre-2020-lawsuit