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Ripple's legal battle with SEC remains unresolved as appeal looms

GrafaGrafa2024/09/09 06:15
By:Isaac Francis

The ongoing legal dispute between Ripple (CRYPTO:XRP) and the U.S. Securities and Exchange Commission (SEC) is far from over despite Judge Analisa Torres' ruling on August 7, which initially seemed to bring the case to a close.

The latest development suggests that the SEC is still contemplating an appeal against the court's decision.

Ripple recently submitted a request to stay the court's monetary judgment that ordered the company to pay a $125 million fine to the SEC for securities law violations.

Judge Torres, who had mandated Ripple to pay by September 6, granted the stay request.

This effectively delays the payment until 30 days after the appeal period expires with no appeal filed or after the Court of Appeals resolves any potential appeal.

Legal expert Fred Rispoli has pointed out that the SEC’s agreement to the stay request indicates a possible strategy to avoid paying interest on the judgment if Ripple were to pay now and then later win an appeal.

Rispoli now estimates a 60% likelihood that the SEC will appeal Judge Torres' ruling, which included a declaration that XRP is not a security in itself.

The SEC has until October 6 to decide whether to file an appeal.

On the other hand, Ripple's leadership, including CEO Brad Garlinghouse and Chief Legal Officer Stuart Alderoty, has made it clear that they do not intend to appeal the ruling.

They view it as a positive outcome that provides legal clarity for XRP.

Amid the legal uncertainties, Ripple is also lobbying for more favorable regulatory conditions for the crypto industry.

Ripple's co-founder Chris Larsen was among 88 corporate leaders who endorsed Kamala Harris for the U.S. presidency.

Meanwhile, Alderoty has shown support for Donald Trump, donating $300,000 to his campaign due to his pro-crypto stance and his promise to dismiss SEC Chair Gary Gensler if elected.

At press time, the XRP (XRP) price was $0.529.

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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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