Main navigation

Ripple to File Response to SEC's Appeal Push Next Week: Ripple CLO

Thu, 08/10/2023 - 08:53
article image
Godfrey Benjamin
Ripple will pushback against SEC's request for appeal next week, according to Stuart Alderoty
Ripple to File Response to SEC's Appeal Push Next Week: Ripple CLO
Cover image via

Disclaimer: The opinions expressed by our writers are their own and do not represent the views of U.Today. The financial and market information provided on U.Today is intended for informational purposes only. U.Today is not liable for any financial losses incurred while trading cryptocurrencies. Conduct your own research by contacting financial experts before making any investment decisions. We believe that all content is accurate as of the date of publication, but certain offers mentioned may no longer be available.

Read U.TODAY on
Google News

The past 24 hours have been filled with breaking news as concerns the ongoing lawsuit between Ripple Labs Inc and the United States Securities and Exchange Commission (SEC). One of the key pieces of news that broke is that the market regulator planned to file an appeal based on its interlocutory request, an appeal that Ripple General Counsel Stuart Alderoty says the company will be responding to in the coming week.

Ripple Drama Continues as SEC Strikes Back with Appeal Request

According to Alderoty, the SEC does not currently have the "right" to file an appeal to the XRP ruling, which currently posits that the digital currency is not in itself a security or investment contract. Alderoty highlights how much the SEC needs approval in order to be able to file the appeal that Chairman Gary Gensler hinted would be filed earlier.

The planned appeal, if granted, will throw a very significant wrench into the Ripple v. SEC case, as it will place the ruling from Judge Analisa Torres on a free path with dual uncertainty. While many legal experts following the case have predicted what might come out of such an appeal, the reality is that there is a fair chance the verdict could be upturned in the long term.

Precedent not yet set

The ruling from Judge Torres ideally favored both the SEC and Ripple Labs, as institutional sales of XRP were labeled investment contracts, while only secondary sales on exchanges were designated as nonsecurities.

Cardano's Hoskinson Refutes SEC Allegations, XRP Community Excited About Likely Reveal in Ripple Case, BTC Dominance Approaches 50%: Crypto News Digest by U.Today

The part that favored the blockchain payments company will form a major precedent if allowed to stand and will serve as a basis for other top digital currencies like Cardano (ADA), Solana (SOL) and Filecoin (FIL), already labeled by the SEC as securities, to defend themselves.

With rekindled interest in the case, the community will keep tabs on the jury trial, which will be kickstarted by the second quarter of next year, as scheduled by Judge Torres.

article image
About the author

Godfrey Benjamin is an experienced crypto journalist whose main goal is to educate everyone around him about the prospects of Web 3.0. His love for crypto was birthed when, as a former banker, he discovered the obvious advantages of decentralized money over traditional payments. With his vast experience covering various aspects of Web3, Godfrey's articles has been featured on, Cryptonews and Coingape, among others.