Bitrabo Editorial
Following the recent court ruling, Ripple Labs was ordered to pay a $125 million civil penalty for alleged improper sales of XRP tokens, considerably less than the initial $2 billion demanded by the SEC. While the district court proceedings have concluded, the possibility of further appeals to higher courts remains open.
Differing Opinions on Ripple’s Appeal
Ripple’s CEO, Brad Garlinghouse, and Chief Legal Officer (CLO), Stuart Alderoty, welcomed the court’s decision, emphasizing the substantial reduction in the penalty. However, opinions within the pro-XRP community differ on whether Ripple will pursue an appeal following the ruling.
Pro-XRP attorney Fred Rispoli interpreted Ripple’s official statements as an indication that the company might not challenge the ruling further. On the contrary, lawyer Jeremy Hogan outlined reasons why Ripple might find the ruling acceptable without the need for an appeal.
However, some, like lawyer James “MetaLawMan” Murphy and Bill Morgan, speculate that both parties may choose to appeal the decision, considering the implications and potential outcomes of the case.
Will the SEC Choose to Appeal?
As of now, the SEC has not responded formally to the ruling, leading to speculation about their next steps. Various factors, including political pressures and narrative concerns, may influence the SEC’s decision on whether to appeal the court’s decision.
Former SEC Enforcement Cyber Unit head, Kristina Littman, suggested that the SEC could opt to accept the district court’s ruling to avoid unfavorable outcomes at a higher appellate level, indicating a strategic approach to the decision-making process.
Both Ripple and the SEC have a 60-day window to file an appeal following the court ruling, with uncertainties surrounding the SEC’s stance amid discussions within the Democratic Party regarding regulatory frameworks for the crypto industry.
The deadline for filing an appeal falls in early October, just ahead of the US elections, adding another layer of complexity to the situation.
Currently, XRP is trading at $0.6038.