Ripple and the Securities and Exchange Commission (SEC) are back before Judge Analisa Torres, seeking a reconsideration of the previous court ruling.
What is Rule 60(b)?
Rule 60(b) allows a court to modify or dismiss a final judgment if there are 'exceptional circumstances' — unusual or important new reasons to undo a decision already made.
Reasons for Ripple and SEC's Request
Last year, the court ruled against Ripple, imposing a $125 million fine and barring the company from selling XRP to certain buyers in violation of U.S. securities laws. Ripple was required to hold the full penalty in escrow while awaiting appeal. Now, Ripple and the SEC have reached a settlement and want to close the case, requesting the court to:
* Dissolve the injunction restricting XRP sales. * Release the escrowed funds: Ripple would pay $50 million to the SEC and get the remainder back.
Implications for Ripple and Impact on IPO
Currently, Ripple is under an injunction prohibiting it from selling XRP to institutions or the general public in ways that violate U.S. securities laws, creating a barrier for the company's business operations and IPO plans. Ripple and the SEC assert that this injunction is the primary factor hindering their settlement and Ripple's future business plans. If the court agrees, Ripple would be able to resume its business operations and move toward an IPO or similar offerings in the future.
Ripple and the SEC are working toward resolving the dispute, but the judge's final decision will be crucial for Ripple's business plans.
