3 ms·
This part I don't understand, aren't those institutions "accredited investors"?
by chrisco255 3y ago
This part I don't understand, aren't those institutions "accredited investors"?
- zaroth 3y agoThere are specific regulations that carve-out ways to sell unregistered securities to accredited investors. For example, Rule 504 and 506 under "Regulation D", but they have limits on the amount raised ($10mm for 504) or limits on solicitation, which perhaps Ripple did not adhere to? You also have to file a Form D to claim the exemption ahead of time, which perhaps they didn't do?
- otoburb 3y agoAs usual, Matt Levine has a great article[1] on this topic. [1] https://www.bloomberg.com/opinion/articles/2023-07-14/ripple-is-a-security-and-it-isn-t https://www.bloomberg.com/opinion/articles/2023-07-14/ripple...