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Hello this is Matt on the moon Lambo Channel here's a headline from the Crypto basic here's how much xrp Ripple Might sell to pay SEC $2 Billion now I'm assuming that most of You have heard by now but just in case You haven't the SEC is demanding that Ripple pays $2 billion basically in Penalties which is substantially higher Than what they were initially asserting Uh the uh Ripple should pay in their Initial legal complaint which was was Right around $1.2 billion so mind you The SEC lost on the most crucial point In the entire damn case the matter of Whether or not xrp itself is a security They lose on that crucial part and as a Result any sort of uh transactions that Would have to do with you all right That's all out the window and they're Like okay well now we want double the Money what a bunch of little baby back Baches you know what I'm saying I can Just they really grind my gears so um That's ridiculous I'm not convinced That's going to happen but that's not The only thing that occurred there's all There also settlement talks yesterday Did you hear about this I made a video About it it was widely discussed within The xrp community just trying to catch You up in case it hadn't heard yet Though uh another headline from the Crypto basic court records show Ripple
And SEC just had settlement talks that's True here's some actual pictures of them Uh just a couple days ago there's Steuart Alder Chief legal officer on the Left uh Ripple CEO brag Garland house on The right and here's a picture of them From the backside y so uh now as far as That goes I am not uh I am not expecting That this means there's going to be an Actual settlement uh this particular Meeting was uh was demanded by judge Torres so we knew that there would be a Settlement talk the judge made that Clear publicly back in maybe it was September of last year I I highlighted The date in the my last video but anyway When that was made public the date Wasn't yet set so we didn't know so we See this and we're like wait a minute What's what's going on here what are They walking into here and then we go to Court listeners as I highlighted in my Video the other day and you find oh yeah Well it's right there on the schedule so Of course this has to be what is Occurring you know 1 plus 1 equals 2 Right so there's that but how imagine That Ripple actually has to pay this $2 Billion uh I don't know exactly how much Money is in their account right now the Last time Brad Garing house publicly Talked about it it was a billion dollars But then I think they spent like what a Quarter of a million dollars buying a
Company so um you know or not a quarter Of a million dollars it was $250 million Decimal place over so big dollar amount Right but uh how much money they Actually have now I don't know it's it's Expensive to run their business but they Also have a bunch of xrp they can sell They they do sell over time um that's Been publicly known for you know better Part of a Decade but if they if they suddenly had To pay A2 billion doll fine could they Right now well I don't think they're Flush with that much cash I mean I I Joke sometimes they have more money than God but it's a joke they don't literally Have infinite money they're not the United States government you just Printing money all willy Dilly you know Money printer go bur you know that whole Thing uh so what would happen well as I Was talking about in a recent video in Theory the only thing they could do the Only Ripple could do and might feel in Theory forced to do would be to sell xrp To a much greater degree than they've Been uh dumping on us plebs right uh you Know dumping on the market so they they Get their stacks of fat cash and then uh Market price go down substantially for Xrp that's what people are worried about But should we be worried about that not So fast let me go ahead and break this Down because first of all couple things
Off the bat here number one I don't Think that judge torus is going to stand For this number two even if Ripple did Start selling way more xrp would it tank The price even if it were you know to Like well we'll get into the exact Figures here what it would be but if You're talking about billions of xrp Getting sold off in short order wouldn't That tank the Market we'll talk about it not Necessarily yes Though um and so anyway piece reads as Follows the legal tussle between the SEC And ripple could be approaching a final Resolution as court records show that The parties just had a settlement Conference according to the court Listener legal database the United States district court for the southern District of new of New York recently Scheduled a settlement conference Regarding the ongoing legal tussle Between the SEC and ripple the Conference held yesterday at 3:10 p.m. Eastern time was presided over by Magistrate Judge Sarah Neer Interestingly an ex-user uh who goes by The name boa feat uh shared a photo of Ripple exec brag Garland house and Steuart Alder entering a federal Courthouse in New York yesterday the Photo elicited a series of reactions as Xrp community members were surprised
That a settlement conference had Happened out of the blue responding to Inquiries uh about the the matter former SEC official Mark fagel pointed out that The surprise settlement conference was a Mandatory prehearing meeting which was Part of the original scheduling uh order Of the lawsuit and so not expecting some Sort of settlement here uh does that Mean though that they're going to have To pay the amount here well let's get Into the two billion aspect of this Which is completely absurd and offensive It just is but is it going to happen and What would that look like uh the Headline here again here's how much xrp Ripple might sell to pay sec2 billion Fine and people speculating that this is Probable to happen I disagree I do not Think so and even if it did is at the End of the world well that's what I want That's the point I want to get to but Let me do things in order here with the SEC demanding a nearly $2 billion fine From Ripple we've highlighted the amount Of xrp the company might sell to meet This obligation if the court sides with The regulatory agency the US SEC Recently filed its opening remedy brief Proposed judgment and accompanying Exhibits in the Ripple case notably the Part of the sec's recent filing that has Caught the crypto community's attention As its proposed judgment the SEC
Specifically demanded that the the court Order Ripple to pay well she around Number here $ 1.95 Billion in fees and penalties over its Violation of federal Securities laws According to the SEC Ripple must pay the $1.95 billion 30 days after the court Adopts and issues its proposal as the Final judgment so to be clear here this Would be off in the future but if they Were demanded to pay that right now I Don't think they could they literally Could not comply with this some sort of Arrangement would have to be made but It's ridiculous and offensive because This is the SEC trying to get Ripple to Dump xrp on us that's how ridiculous and Repulsive the SEC is they are trying to Trigger this to happen to harm us They're not trying to they're trying to Protect us they're trying to harm us They they have spite for us anyway peace Continues if the court sides with the SEC and ripple chooses not to appeal the Decision the company would have to raise The $1.95 billion within 30 days after The final judgment is issued a possible Source for ripple to raise funds is Through the sales of the xrp tokens it Holds especially the ones in its escrow Accounts for the SEC Ripple held a total Of 4.77 billion xrp in its escrow Accounts as of December 31st 2023 the crypto payments company has
Already unlocked and utilized 600 Million xrp from escrow this year Bringing the total amount locked in Escrow to 4517 billion XR r p yeah so uh I Mean if you're talking about a billion Xrp getting unlocked from escrow and you Want to sell all of it you're going to Need like to have a fivefold increase in RI Ripple sales sales fivefold increase In Ripple sales Uh would that would that hit the market Would it would it hurt us real bad well Let me go a little further should Ripple Decide to raise the $ 1.95 billion fine By strictly selling some of its xrp Holdings the company would need to sell Oh she around number here 3.12 billion Xrp and escrow at the current price of 62.4 the 3.12 billion xrp coins that Could be sold represent about 6.91% of The total uh xrp coins in escrow taking This route and dumping huge amounts of Xrp in the market could wreak havoc on The coin's price and look fair enough Point to bring up in fact uh take a look At this at the time I'm recording this Xrp 62.9 uh you have a 24-hour volume of 987 Million so a little shy of a billion There but look at the liquidity it's $19 Million so so that's what it is at at This
Moment if if Ripple sold a few hundred Million like you you could soak up all The order books in the planet in theory In short Order but first of all they wouldn't Actually they do not want to in any sort Of detectable way impact the price of Xrp so I don't believe for a moment They' do that even if they were in a Situation where they had to raise that Much money well first of all they Wouldn't because judge won't do it They'd still appeal this would be way Past the bull market anyway so I'm not Actually worried about this but it's a Fun exercise in thought it's like what Would happen then well first of all Ripple would would sell gradually from Day to day but the reason that it Wouldn't hit us and this is the reason That I wouldn't be terribly worried uh Even if you do think that they're going To have to sell a boatload of xrp is Because Ripple can purchase overthe Counter are you familiar with this Concept look there's there's a reason That um that that um what's the guy's Name sailor what the hell's his first Name Michael sailor right Michael sailor Yeah the toxic Bitcoin Maxi right that Guy um who who owns founded and uh Founded micro strategy and was the CEO Until recently now he's got some other Position there anyway uh because micro
Strategy has I think what over it's over 200,000 Bitcoin now I want to say well How was how was he able to purchase that Without moving the market in any sort of Detectable way like that doesn't make Sense right should that that kind of Demand like done something to the price Any well not exactly in that case he was Purchasing but the reason that nobody The markets didn't start driving up and He didn't have to start paying way more In fees is because he bought over the Counter he was going to exchanges that Already had Bitcoin and and buying Little bits here and there drips and Drabs over a prolonged period of time And I don't remember exactly what the The period of time was but that's how he Did it he didn't want to move the market Because then he ends up paying more Right So if you're if you're thinking about What Ripple would do what Ripple would Do is they'd purchase from exchanges and You know regular people can do this by The way depending on what exchange You're talking about some have lower Bars like if you're just going to be Like buy like even $10,000 worth of a Cryptocurrency some exchanges I've seen They're like yeah come talk to us you Might want to buy OTC and and so if that Happens uh and it's it's coming directly From the the supply of an
Exchange people aren't going to know That's happening that's a private Transaction from an exchange to an a Business or an individual in this case It would be Ripple so it would be a Business right so they'd be selling they Could be unloading um it's it's Basically like in Reverse right it Doesn't mean that it's necessarily going To flood the market it depends on who They sell to so that that's another Factor but I think like again the most Important piece is a judge Tores ain't Gonna go for this B um even if she did There would be an appeal and then C even If they still to pay it uh something Would have to be worked out so it could Be done over a period of time and it Would be like um it would be like you Know I I just I just think that there Would be a bunch of entities that would Be willing to purchase but um because There's always larger entities but they They can sell it effectively the same Way that you could from exchange it' be Just like over the- counter and ripple Does this like with with strategic Business partners they sell their they Have historically sold their xrp this This way and sometimes exchanges stock Up like I'm just saying there are there Are other things to consider now in Terms of of the way that this would Actually break down I don't pretend to
Know in in the real world if that Actually happened which I think it's Fantasy Land stuff but if even got to That point I'm just saying there's a lot Of Dynamics to all this and I don't Think it would end up cratering the xrp Market it's big um and again this would Be by the end of the bull market anyway I don't think this is something to worry About but it is what it is like it's It's a massive quantity it's kind of a Fun little exercise to think through Here but for anybody that's actually Worrying about this and some people Actually are I say don't worry about I Just it it doesn't make sense to worry About this uh and then you know even if Even if it happened once it's done it's Done and it can't happen again here but Realistically I think they're going to Have to pay some sort of small fine and Then frankly they have enough cash for It already that's that would be my guess Whatever the fine the actual fine is That judge tours ends up imposing on Them uh because I do think there's going To be something in all likelihood well I I just don't think that it's I just Don't think it's something that's going To be absolutely devastating that that's All I'm saying so big picture like I was Saying Overarching message in this video There's a lot of moving Parts it's not
Realistic for it to happen sleep easy You guys can tell me what you think did I miss anything that's worth considering In terms of how this might unfold any Particular Dynamic I've not yet thought Through well I'm not a know- at all so If if I am missing something just kindly Let me know uh because I'd be curious Because it is kind of interesting as a Topic to think through here but again I'll just say I am worried about Moon Lambo sleeping easy son I'm not a Financial adviser you should not buy or Sell anything because of anything I say Or right that would be a very very very Bad idea until next time to the Moon Lambo
