SEC Files Opening Brief in Its Appeal Against Ripple Over XRP as Token Hits $3
The post SEC Files Opening Brief in Its Appeal Against Ripple Over XRP as Token Hits $3 appeared on BitcoinEthereumNews.com.
The U.S. Securities and Exchange Commission (SEC) has filed its opening brief in an ongoing appeal against Ripple Labs, seeking to overturn a crucial legal victory for the company. This filing comes as XRP, the cryptocurrency at the center of the case, surpassed $3 for the first time since 2018, fueling optimism among its supporters. The SEC is challenging a New York District Court’s 2023 ruling, which stated that XRP, when sold to retail investors, does not qualify as an unregistered security. SEC Seeks to Overturn Court’s Ruling on XRP The SEC’s appeal, filed in the Second Circuit Court of Appeals, seeks to overturn Judge Analisa Torres’s decision from July 2023. In her ruling, the judge concluded that XRP transactions involving retail investors were not securities, while institutional sales of XRP were classified as securities. This distinction, according to the SEC, is flawed and should be reconsidered. The SEC files its opening brief as XRP sprints past the $3 mark. Source: Dropbox The regulator argues that the judge misinterpreted the law and that XRP’s sales to retail investors should be considered an unregistered securities offering. The SEC also contends that XRP tokens distributed as employee compensation and through business deals should be classified as securities. Ripple Responds: A “Rehash” of Failed Arguments Lawyers for Ripple have lashed out at the SEC for pursuing an appeal – what they’ve called an exercise in repeating previously rejected arguments. Stuart Alderoty, Chief Legal Officer at Ripple, emphasized on his social media that the commission’s filing was merely a rehash of prior claims, which he had said had already been lost previously. Brad Garlinghouse, chief executive at the company, also waded in to suggest the appeal would be dropped by the next administration. According to market experts, the SEC’s appeal brief is a rehash…
Filed under: News - @ January 18, 2025 8:14 am