Ripple’s Stance on SEC’s Intended Appeal
Ripple (XRP) chief legal officer, Stuart Alderoty, has announced that the U.S. Securities and Exchange Commission (SEC) doesn’t currently possess the right to challenge the ruling on XRP, as per a statement on August 10.
The assertion came as a reply to the SEC’s recent communication, which highlighted its plans to request the Court’s permission to contest a significant ruling by Judge Analisa Torres on XRP’s systematic sales.
SEC’s Proposed Actions Against XRP Ruling
An Appeal on the Horizon
On August 9, the financial overseer stated a desire for an intermediate examination of the internal contradictory judgment concerning the same matter. This move was further accentuated by Judge Jed Rakoff’s disagreement with Judge Torres’ resolution. Rakoff is supervising the lawsuit between the SEC and Terraform Labs.
The authority stressed the essential role of this examination, underlining that the result might lay down a precedent affecting subsequent legal matters. Consequently, the SEC appealed for a temporary cessation of all legal activities, displaying a wish for the Court to abstain from implementing the ruling throughout this interval.
A Hint at Further Actions
The SEC’s letter also alluded to the potential of contesting the final decree if the Court declines to approve its request for a provisional review.
The letter reflects the SEC’s unyielding resolve to regulate the cryptocurrency field. With Gary Gensler at the helm, the agency has launched multiple lawsuits against leading cryptocurrency organizations such as Binance and Coinbase.
Ripple’s Forthcoming Response
Ripple’s chief legal officer indicated that the digital currency payment business would articulate its reply to the SEC’s letter the following week.
While Alderoty withheld supplementary information regarding the response, he clarified that the regulatory body “lacks the ‘authority’ to challenge at this stage, explaining why they are seeking consent to initiate a ‘provisional’ appeal.”
Prominent cryptocurrency attorney Bill Morgan encouraged Ripple to counter the SEC firmly and bring to the Court’s attention that the regulator conceived the distinct classes of sales that Judge Torres pronounced her judgment on.
Conclusion
The ongoing legal battle between Ripple and the SEC continues to unfold, reflecting broader regulatory efforts within the cryptocurrency industry. The outcome of this specific case could have lasting impacts on the regulatory landscape and provide vital precedents for future legal challenges. Ripple’s response, expected next week, will be closely watched by legal experts and industry stakeholders.
