Just before we pop off for the holidays we thought we would bring you some of the highlights of the SEC’s filing against Ripple Labs. Because its 71 pages really were hugely insightful reading. Emphasis ours throughout.

Let’s start with the assertion that the defendants were aware of their venture potentially falling under federal securities law as far back as 2013:

This, meanwhile, is the essence of how the operation worked:

Moving on to how Ripple funded its operations with sales of XRP, its native digital currency:

And some more on how its entire business model was basically focused on the selling of XRP:

How the holders of XRP benefited from the controlled distribution of the digital tokens in price terms:

And here’s a nice summary of all the sales:

The unregistered third-party middlemen that Ripple organised and paid to help them manage the sales:

How the middlemen were directed to control the price:

How they incentivised institutional holders with pre-arranged discounted terms relative to public market prices (the public market that the securities were loaded off into):

More about how Ripple paid money-transmitting businesses with XRP to use its product:

How Ripple managed comms to maximise XRP value:

How Ripple emulated a central bank in how it regulated those it distributed its tokens to:

How the fee it paid holders of XRP emulated a type of interest rate:

How Ripple incentivised trading platforms to list its tokens:

How Ripple emulated a central bank in how it managed price and volatility in the price of XRP:

Then there’s this extraordinary detail about how Ripple execs used buybacks to firm up the price of XRP:

How Ripple execs analysed the market impact of XRP purchases:

How execs made efforts to protect the XRP market, especially when it was out of sync with other crypto market moves:

How fretting about the price led to “supply limiting tactics”:

How all of the above activity required public disclosure to be legal:

How Ripple execs created an Escrow fund to assuage concerns about too much selling:

And some thoughts about who really can exercise influence over offering proceeds:

How the SEC clocked HODL:

How nobody was using XRP to actually transact:

What onboarding there was was subsidised by Ripple:

And finally how executives kept the incentive programmes quiet from the public:

No mention, sadly, of the extensive social media PR war that was waged by the XRP army online to the benefit of the Ripple community. Or of Ashton Kutcher’s promotional activity on The Ellen DeGeneres Show. But we are sure it won’t have gone unnoticed.

Related links:Ripple is being sued by the SEC - FT AlphavilleBlockchain hype storms Davos - FT AlphavilleThe art of redefining success, MoneyGram and Ripple edition (Updated) - FT AlphavilleRipple: Davos man no longer - FT Alphaville