The SEC (Securities and Exchange Commission) has filed an appeal with the 2nd Circuit Court of Appeals, seeking to overturn Judge Analisa Torres' July 2023 ruling in the case against Ripple Labs.
In that ruling, the judge determined that while Ripple's sales of XRP to institutions violated federal securities laws, its retail sales on exchanges did not.
The ruling is seen as a major victory for Ripple and the cryptocurrency industry, as it challenges the SEC’s broader approach to classifying digital assets.
The SEC’s move now extends the legal battle, with the 2nd Circuit Court of Appeals set to review the lower court’s ruling. The outcome could have far-reaching implications for the regulation of digital assets and securities in the United States.
Ripple's leadership believes that the SEC should ignore this case, because it does not protect investors but also damages the SEC's reputation and credibility.
