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Ripple and SEC await next steps as appeal deadline approaches

GrafaGrafa2024/09/05 06:55
By:Liezl Gambe

The ongoing legal battle between Ripple (CRYPTO:XRP) and the U.S. Securities and Exchange Commission (SEC) remains in the spotlight as the deadline for the SEC to appeal the recent court decision approaches.  

Although Ripple and the XRP community have celebrated a partial victory, uncertainty looms over whether the SEC will file an appeal, potentially reigniting tensions.  

Attorney Jeremy Hogan, in a recent post on X, speculated that the SEC might still be weighing its options regarding an appeal.  

Hogan noted that filing a Notice of Appeal is a simple process that takes about 15 minutes, and once filed, the SEC would have 70 days to submit a detailed brief.  

He suggested that if the SEC had already decided to appeal, they would not delay filing, given the significance of the case and the unfavorable nature of the current ruling.  

In a related development, Ripple and the SEC have jointly requested a stay on the $125 million monetary judgment portion of the court's decision.  

This request comes just days before the September 6 deadline for Ripple to pay the penalty set by Judge Analisa Torres.  

While Ripple had previously indicated no plans to appeal, the move to seek a stay suggests the company may be reconsidering its strategy.  

If granted, the stay would delay the payment and provide both parties with more time to prepare for a potential appeal.  

Former SEC lawyers, including James Farrell and Marc Fagel, believe the SEC could still file an appeal before the 60-day deadline in early October.  

Ripple, on the other hand, would need to file a cross-appeal in the Second Circuit Court if it wants to challenge the ruling more comprehensively.  

Choosing not to cross-appeal would mean Ripple accepts the $125 million penalty without further contest, potentially limiting the scope of legal proceedings.  

Following the news of the stay request, XRP saw a modest 2% price increase, reaching $0.562, with trading volume rising by 36%.  

However, the price faces critical resistance at $0.565, and failure to hold this level could lead to a decline to $0.5326 or even $0.47 if bearish momentum persists.  

Conversely, reclaiming $0.57 could trigger a more bullish trend, depending on future legal outcomes.

At the time of reporting, the XRP price was $0.5535.

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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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