In July, Ripple (XRP) won a landslide victory in its lawsuit with the US Security and Exchange Commission (SEC). The judge ruled that the secondary sale of XRP does not fall under US securities laws. The SEC now wants to appeal this ruling, but that process is anything but simple.
Ripple hasn’t won yet
Although Ripple won a nice victory, the lawsuit has not yet concluded. It was only a first ruling by the judge during the trial. The SEC plans to appeal the ruling and is requesting that the entire process be halted until this appeal is completed. This is not normal practice, but the SEC believes an exception should be made.
Ripple’s CTO, David Schwartz, doesn’t think this is a good idea. If the appeal is heard while the lawsuit is still pending, it could easily take a year.
Yes. A party that loses on any claim or issue in their suit is entitled to appeal any adverse rulings at the conclusion of the suit. The SEC is asking for permission to appeal here because the suit is not complete yet for any party.
You can see why there would be a rule like…
— David “JoelKatz” Schwartz (@JoelKatz) August 18, 2023
“There are numerous small rulings during a court case and appeals normally take a year. So we encourage both sides to make their appeals at the end of the litigation. This is the normal course of events. Then all professions can be handled at the same time.”
SEC wants exception for XRP lawsuit
However, Schwartz notes that an exception can be made for “unusual situations,” which is exactly what the SEC requires. Ripple, of course, disagrees. Even if the judge allows an SEC appeal, it will have to wait until after the lawsuit, Ripple said.
While the ruling in July was considered a major victory for XRP, and perhaps for the wider crypto sector, the lawsuit is far from over. The SEC won’t let it sit there and seems to be doing everything it can to get a judge to overturn the ruling.
2023-08-20 19:03:20
#XRP #lawsuit #long #tail #warns #Ripple #CTO
