The ongoing lawsuit between Ripple and the U.S. Securities and Exchange Commission (SEC) continues to attract attention from the crypto community. As the case approaches its final stages, speculation increases regarding a prolonged legal struggle between the two parties.
Final Stages of the Case
The Ripple-SEC case stands out as one of the longest legal battles in the cryptocurrency world, approaching a significant milestone of four years. Many lawsuits initiated after Ripple’s case have already been resolved. Recently, Judge Torres imposed a $125 million penalty on Ripple, which, when compared to the SEC’s demand of $2 billion, appears to indicate a clear victory for Ripple.
Expectations from Former SEC Attorneys
James Farrell estimated that the likelihood of the SEC filing an appeal is about 75%. Ripple has secured a stay on the payment of the penalty. Both parties have agreed to delay the payment, suggesting that they are contemplating prolonging the legal battle.
Next Steps in the XRP Case
The Ripple community remains cautiously optimistic, although the SEC’s potential appeal could extend the case. The final decision will have significant implications for the regulatory status of XRP and the broader cryptocurrency market. Ripple CEO Brad Garlinghouse and CLO Stuart Alderoty dismissed concerns about delaying the XRP case, asserting that they have no intention to do so. However, James Farrell mentioned that if Ripple wins the appeal, there is a possibility that the SEC may refund the $125 million penalty along with interest. The deadline for the SEC to file an appeal is October 7, and XRP Coin investors will remain on edge until that date.
If the SEC proceeds with the appeal, Ripple may consider contesting the court’s decision regarding institutional sales and On-Demand Liquidity transactions. Given the significant repercussions of the legal process for all markets, both sides are likely to exert all their energy until the very end.
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