Ripple Case Appeal: SEC's Motion Denied by Court

Police & Regulations
Oct 6, 2023 at 07:03 am

Following the announcement, XRP experienced a notable surge of approximately 5%.

In a significant turn of events, a federal judge has dismissed the U.S. Securities and Exchange Commission's attempt to appeal its substantial setback in the case against Ripple, the cryptocurrency entity closely linked with the XRP token.

The news prompted a 5% uptick in XRP's valuation.

District Judge Analisa Torres, in a concise statement on Tuesday, asserted that the SEC had fallen short of meeting its legal obligation to demonstrate the existence of pivotal legal questions or substantial grounds for differing viewpoints.

It's worth noting that this ruling doesn't signify a complete defeat for the SEC. The judge has scheduled a trial for April 2024 to address other unresolved matters. The agency may still pursue an appeal for the entire case in the future.

Previously, in July, the judge had ruled that although Ripple had indeed breached federal securities laws by directly selling XRP to institutional investors, it hadn't done so when providing XRP to retail customers through programmed sales on exchanges. This decision raised questions about the extent to which securities regulators can effectively regulate the cryptocurrency market.

In the wake of the July ruling, the SEC declared its intention to file an interlocutory appeal and sought to halt further decision-making, aiming for a review of Judge Torres' ruling by an appeals court.

As of now, representatives from both the SEC and Ripple have not provided immediate comments on the matter.

Read more: Ripple's Legal Triumph: XRP Price Dynamics

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