Main navigation

Judge OKs Discovery Extension That Poses "Existential Threat" to Ripple's Business

News
Tue, 06/15/2021 - 04:22
article image
Alex Dovbnya
The court has granted the SEC’s request to extend the discovery deadline to October despite Ripple claiming that it would cause “tremendous prejudice” to its business
Judge OKs Discovery Extension That Poses "Existential Threat" to Ripple's Business
Cover image via stock.adobe.com
Read U.TODAY on
Google News

The U.S. Securities and Exchange Commission’s request for a 60-day extension of the discovery deadline in the Ripple case has been granted by Magistrate Judge Sarah Netburn.

The deadline to conduct fast discovery will now be prolonged to Aug. 31. Expert discovery will last until Oct. 15.  

As reported by U.Today, the SEC asked the judge for the extension earlier this month in order to address the remaining discovery issues in a “fair and efficient” way.    

The request was vehemently opposed by Ripple, which claimed that delaying the litigation process would pose “an existential threat" to its business in the U.S. Particularly, the company mentioned that On-Demand Liquidity, its cross-border payment product, couldn’t work efficiently in the U.S. because of exchanges desilting XRP or suspending trading:  

Crucially, for ODL to work efficiently, there must be a liquid market for XRP in both the sending and receiving countries. But the pendency of this lawsuit has significantly hurt the markets for XRP in the United States and abroad.   

Ripple also argued that the SEC couldn’t show good cause for justifying the discovery extension.

Related
SEC Wants to Depose Six More Witnesses in Ripple Case

Ripple can get documents from overseas exchanges  

In addition, the court has granted the defendants’ motions on international discovery.

Ripple is seeking documents from a slew of international exchanges, including Bitstamp and OKEx, to prove that their allegedly illegal sales took place outside the U.S:

The SEC’s failure to allege domestic offers and sales should be fatal to its claims.

@u.today

##SEC will now be able to prolong the discovery in the ##Ripple case by 60 days ##crypto ##cryptonews ##XRPnews ##XRPArmy ##xrpcommunity ##XRP

♬ original sound - U.Today
article image
About the author

Alex Dovbnya (aka AlexMorris) is a cryptocurrency expert, trader and journalist with extensive experience of covering everything related to the burgeoning industry — from price analysis to Blockchain disruption. Alex authored more than 1,000 stories for U.Today, CryptoComes and other fintech media outlets. He’s particularly interested in regulatory trends around the globe that are shaping the future of digital assets, can be contacted at alex.dovbnya@u.today.