Bitrabo Editorial
An attorney sheds light on the forthcoming court decision by the Securities and Exchange Commission (SEC) regarding its lawsuit against Ripple. With the legal showdown drawing to a close, the attorney discusses the possible ramifications of the judgments on Ripple’s reputation and digital asset operations in the United States.
Anticipated SEC Rulings for Ripple
In a recent YouTube video on the Thinking Crypto podcast hosted by Tony Edward, Fred Rispoli, the founder of HODL law, delves into the implications of the potential SEC ruling against Ripple. Rispoli confirms that Ripple will be required to pay fines but assures that they won’t be as hefty as the initial $2 billion fine proposed by the SEC. The attorney predicts a penalty under $25 million, emphasizing the significance of any injunction terms affecting Ripple’s future activities and financial interests.
Rispoli also discusses the SEC’s desire for a comprehensive injunction against Ripple to limit any activities that could be construed as unregistered securities transactions. While anticipating the judge’s decision, he notes that the SEC will have a 60-day window post-judgment to consider an appeal.
Potential Future Consequences of the Legal Dispute
Looking ahead, Rispoli suggests that if the lawsuit’s outcome is unfavorable, Ripple might be compelled to shift its operations beyond the US borders. This could pose a significant setback to the US economy, considering Ripple’s prominence in the crypto payments sector and its global expansion aspirations as an alternative to the SWIFT network.
Furthermore, Rispoli mentions potential hurdles the SEC could pose for Ripple’s plans of an Initial Public Offering (IPO) and the launch of a stablecoin, potentially categorizing it as a security. This regulatory stance could impact Ripple’s future ventures in the digital asset landscape.