Ripple Vs SEC Lawsuit: Ripple CLO Cools Down Settlement Debates, XRP Price Reverses
Ripple CTO Stuart Alderoty took to X and cleared the air on the pre-trial settlement stating that “there is no final pretrial conference because the SEC dismissed the charges
Before the settlement conference, the SEC asked the court for a final judgment against Ripple and nearly $2 billion in penalties for violating Section 5 of the Securities Act of 1933 and conducting unregistered offerings of XRP in institutional sales. Ripple executives Brad Garlinghouse and Stuart Alderoty condemned the SEC and claimed to expose the regulator in its filing by April 22
Ripple Vs SEC Pre-Trial Conference
Fresh debates on settlement in Ripple vs SEC started as the SDNY Court’s proceeding calendar for the week of April 15 displays a “Final Pretrial Conference” between the U.S. SEC and Ripple Labs on April 16. However, the courtroom details remained unspecified. In fact, the matters for pre-trial were dismissed when the SEC dropped charges against CEO Brad Garlinghouse and executive chairman Chris Larsen
Nevertheless, some XRP army members still believe a settlement is in play after the SEC’s recent closed-door meeting on April 11, Ripple’s delayed XRP unlocks from escrow, and reasons provided by expert Ashley Prosper why Ripple vs SEC case is probably over
Coinbase and Ripple gained clarity from the US Court of Appeals for the Second Circuit that secondary market transactions of cryptocurrency are not securities. Moreover, Coinbase has filed for interlocutory appeal in the SEC case in the Second Circuit Court of Appeals seeking clarity on whether an “investment contract” requires something contractual
Pro-XRP lawyer Bill Morgan said Coinbase’s potential loss in the SEC appeal could open doors for the SEC to appeal against programmatic sales of XRP As the appeal centers on a crucial question regarding the definition of an “investment contract”, a loss in appeal have significant implications for the lawsuits and the crypto market
