In August, Ripple's long-running legal battle over XRP saw a significant development. With a potential new chapter in the form of an SEC appeal, observers and market participants are keeping a close eye on the situation.
Judge Torres's Ruling and Its Implications
On July 13, 2023, Judge Analisa Torres ruled that Ripple’s direct sales of XRP to institutional investors (Institutional Sales) were considered securities transactions, while sales on digital asset trading platforms (Programmatic Sales) were not.
Opinions from Former SEC Staff
Fox Business journalist Eleanor Terrett revealed that a former SEC lawyer mentioned a probable appeal on Judge Torres's July 2023 ruling on XRP programmatic sales in the Ripple case. According to him, many in the SEC believe the ruling is wrong and should be appealed.
XRP Community Reaction
The XRP community had mixed reactions to the latest development. Attorney Jeremy Hogan stated, “Of COURSE they think the opinion is wrong - they were on the losing side. What the SEC SHOULD be thinking of right now is whether an appeal furthers its mandate of investor protection and capital formation. Why isn't that top of mind? More evidence the SEC has lost the plot." Stuart Alderoty, Ripple’s Chief Legal Officer, recently announced the end of this four-year conflict, with the SEC even apologizing for mischaracterizing XRP.
The SEC has not yet confirmed if it will appeal the recent rulings in the SEC vs. Ripple case. Both Ripple and the SEC have a 60-day window to file appeals, with the deadline set for October 7.
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