Yello Paradisers! The United States Securities and Exchange Commission (SEC) faced another setback in its legal battle against Ripple Labs. A federal judge has dismissed the SEC’s appeal to overturn a previous ruling in favor of Ripple.
📰Deep Dive
U.S. District Court Judge Analisa Torres, who had earlier ruled in July that Ripple’s XRP token sale wasn’t an illegal securities offering, reiterated her stance. She mentioned that the SEC couldn’t prove any significant flaws in the initial decision. This means the SEC’s hopes of overturning the ruling before next spring’s final judgment have been dashed.
📰Market Reaction
The crypto community and market didn’t hold back their reactions. Ripple’s XRP token saw a surge of 6.8%, peaking at $0.54, before stabilizing at $0.53 and now trading at $0.52, as per CoinGecko data.
📰What’s Next for SEC?
While this might seem like a setback for the SEC, they still have a chance. They can appeal Judge Torres’ decision, but only after the case concludes post the trial on the remaining issues next April.
📰A Look Back
The SEC’s tussle with Ripple has been under the spotlight, mainly because it challenges the SEC’s stance on most crypto companies indulging in illegal securities activities. Judge Torres had previously emphasized that Ripple’s XRP isn’t necessarily a security. Following her July verdict, the crypto market witnessed a massive surge, with XRP’s value skyrocketing by over 66%.
ParadiseTeam 🌴
