Ripple Vs. SEC: Interlocutory Appeal Incoming
The US Securities and Exchange Commission (SEC) has outlined its reasons for seeking an interlocutory appeal against Ripple Labs Inc. The SEC argues that Ripple’s sales and distributions of XRP should be classified as offers or sales of securities. The regulatory body cites the Howey case as a precedent.
Key Points:
– The SEC wants the court to affirm that Ripple’s “programmatic” sales and “other distributions” involve the offer or sale of securities.
– There is an intra-district split in legal opinion, as shown by Judge Jed Rakoff’s ruling in the SEC vs. Terra case.
– The SEC suggests that the court’s previous order could impact other pending litigations.
– Legal expert Jeremy Hogan highlights that the SEC is only appealing the programmatic and individual sales issues, not whether XRP is a security itself.
– Ripple’s Chief Legal Officer, Stuart Alderoty, clarifies that the SEC is seeking permission to file an interlocutory appeal.
Hot Take:
Despite the legal developments, XRP’s market price remains stable, indicating a mature market response. Consequently, XRP is currently trading at $0.6378.
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