The Lawsuit Over the XRP Giveaway Scams Finally Settled
On Mar 10, 2021
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Ripple could not get away with lawsuits lately. The Ripple sued YouTube a year ago and finally reached an agreement on the XRP giveaway scams lawsuit. Also, the partnership with MoneyGram is officially over.
Recently, Ripple (XRP) is involved in many courtroom cases. From YouTube to SEC. These lawsuits require additional attention and funds to deal with it. Till now, Ripple is still strong and successfully deals with those lawsuits.
A year long-aged lawsuit with YouTube has finally ended. Ripple CEO, Brad Garlinghouse, talked about this on this Twitter account. He mentioned the significance of social media and the possible effects on people.
Last year, @Ripple and I sued @YouTube for failing to enforce its own policies by allowing fake accounts (impersonating my/Ripple’s verified accounts) to conduct XRP giveaway scams. We’ve now come to a resolution to work together to prevent, detect and take down these scams. 1/3
— Brad Garlinghouse (@bgarlinghouse) March 9, 2021
On social media, scammers use fake identities and impersonating famous people to get attention from the crowd. We regularly see a live video featuring some well-known cryptocurrency founders such as Brad Garlinghouse and Vitalik Buterin. In the description, the scammer notes that if you send some amount of crypto, you will receive 5-fold of that amount. These scammers usually become active during the boom period of cryptocurrencies. People should be careful and not fall for these scams.
Garlinghouse Calls Social Media to Take Action
He mentioned that social media should acknowledge their role in crypto scams, and they need to take action to avoid such behaviors. Garlinghouse gave an example of XRP Forensics but noted that social media has to do better to avoid those scams. Existing performance is not powerful enough to avoid those scammers.
Garlinghouse did not mention the details of the settlement noting it is “confidential.” Lastly, he pointed out that we should be careful and act honestly, especially now, while governments investigations.
When Ripple sued YouTube last year, they also accused YouTube of not taking action and even benefiting the scammers. The company mentioned in their report that, “as of January 1 (2020), consumers reported financial losses of over $13M to COVID-19 related fraud.”
MoneyGram And Ripple’s Partnership Has Ended
The well-known SEC filing affected Ripple and the relationships with its partners. During the SEC investigations, Ripple partner company MoneyGram reported that they do not utilize the ODL (on-demand liquidity) platform or RippleNet to transfer consumer funds. The statement of MoneyGram, a global leader in cross-border P2P payments and money transfers, could not be regarded well by the Ripple officials.
With the recent news, Brad Garlinghouse made it official that Ripple and MoneyGram have agreed on stopping the partnership agreement. Both companies made looking forward statements, and they can work on projects in the future.
After overcoming this hard period Ripple (XRP) can now focus on its business and continue its successful business. The cryptocurrency of Ripple, XRP, can finally thrive.
Disclaimer: All information provided in the content is for informational purposes only and should not perceive as an investment, financial, or trading advice. Any investment decision you make should be a personal choice based on financial knowledge, experience, and market research.