James Murphy, better known online as MetaLawMan, has a theory. A well-regarded financial services lawyer in the crypto legal space, he thinks the delay in dismissing Ripple’s case might not be on the SEC’s end. It could be Ripple, negotiating behind the scenes.
The issue? Judge Torres’ decision. For XRP holders, it was a win. But for Ripple itself? Not entirely. The ruling included findings of securities law violations and an injunction — details that could complicate things if Ripple wants to conduct an exempt securities offering or even consider an IPO.
Gamza KhanzadaevMurphy suspects the SEC would have taken an easy deal: dismiss the appeals, take the $125 million penalty, and move on. But Ripple may be pushing for more, trying to get certain aspects of the ruling vacated. Not a simple request. Years ago, federal judges were more open to this kind of settlement. Now? Not so much.
Bigger picture
And here’s the bigger picture: Since January, with a new SEC composition, major crypto cases have been dropped. Coinbase. Consensys. Legal battles wrapped up, burdens lifted. Yet, Ripple’s case drags on. The fine was set, XRP was ruled a non-security, but the legal process has not been officially closed.
Tomiwabold OlajideThat lingering question — why? — is what keeps the XRP community watching closely. John Deaton, a major legal voice in the space and the representative for XRP holders in a class-action lawsuit against the SEC, thinks Murphy’s theory makes sense.
He called it solid. Back in February, Deaton even addressed the new SEC commissioners directly, asking when Ripple’s case would finally be dropped.
No clear answer yet. For now, it’s speculation, negotiations and a case that refuses to close.
Dan Burgin
Vladislav Sopov