Case between Ripple and SEC gains new chapter with Kaken intervening in the process; Understand

One of the cases that most affected the crypto community in recent years, the legal battle between Ripple and the US Securities and Exchange Commission (SEC), gained a new chapter recently: cryptocurrency exchange Kraken filed a motion for intervention in the process .

Kraken’s intervention comes in response to a court order ordering US-based exchanges to disclose commercial data that is private, including disclosing the identities of holders of Ripple’s native token, XRP.

In its action, Kraken highlighted its position in defense of the protection of its users’ data, emphasizing its importance, as well as the potential risks of sharing confidential information.

However, the exchange also highlighted its neutral position in the legal battle, focusing on the implications related to compliance with the court order. Furthermore, in its claims in the action, Kraken highlighted that a forced disclosure of this type of private data could result in harm to the company’s relationship with its customers.

It is worth noting that a federal court ordered, on June 30, the cryptocurrency exchange Kraken to provide its users’ account and transaction information to the Internal Revenue Service (IRS). The Agency claimed that it needs the requested information to check whether any users of the platform declared less taxes.

As highlighted in the court order, the exchange must provide information about users with transactions exceeding $20,000 in a period of one year.

It is worth remembering that Kraken’s co-founder, Jesse Powell, recently criticized the US Securities and Exchange Commission (SEC) in light of an ongoing lawsuit against the company. Still on the occasion, in a statement on the X application, Powell condemned the SEC’s actions against the exchange and suggested that other crypto companies should consider leaving the US.

Powell shared a post from Kraken that wrote: “SEC filed a complaint alleging that Kraken operates as an unregistered securities exchange, broker-dealer and national clearinghouse. We disagree with their claims and plan to vigorously defend our position.”

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