The SEC responds to Ripple's request to reduce the fine, proposing to lower the penalty to $102.6 million
ChainCatcher news, according to documents disclosed by insider @RippleXrpie, the U.S. Securities and Exchange Commission (SEC) has responded to Ripple's request to reduce the $2 billion fine.
The SEC stated that Ripple compared the amount of the Terraform fine to Ripple's "total sales," arguing that the court should impose a fine at the same rate (1.27%), which would be a cap of $10 million. However, the SEC believes this rate should be applied to the $876.3 million gross profit that the SEC is requesting the court to refund, resulting in a fine figure ($102.6 million) that is much higher than the $10 million cap insisted upon by Ripple. The SEC argues that such a low fine amount ($10 million) does not fulfill the purpose of civil penalty regulations.