The SEC Drops Case Against Ripple Executives
The United States Securities and Exchange Commission (SEC) has voluntarily dropped its case against Ripple executives Brad Garlinghouse and Christian Larsen. While this means that the trial scheduled for April 2024 will no longer take place, the SEC is still pursuing other parts of the case against Ripple. The crypto world, particularly the XRP community, has had varied reactions to this surprising dismissal.
Insight into the Legal Battle
John Deaton, a lawyer and prominent XRP supporter, has offered his perspective on the ongoing legal battle between Ripple and the SEC. In response to crypto trader Ran Neuner’s concerns about the case dismissal, Deaton shared his opinion on the possibility of an immediate appeal by the SEC.
Potential for an Immediate Appeal
In a post on Twitter, Deaton partially agreed with Neuner, stating that an SEC appeal could come sooner due to the dismissal. However, he clarified that the SEC cannot immediately bring an appeal against Ripple. Deaton cited a previous case involving LBRY as an example, where eight months passed between the judgment decision and the appeal filing.
The Amount at Stake
Deaton also highlighted that negotiations regarding the $770 million at stake in the Ripple case are likely to take longer than eight months. In comparison, the LBRY case involved initially proposed fines of $23 million but settled for a $130,000 penalty negotiated over eight months.
The SEC’s Persistence
Deaton dismissed the idea that the SEC dropped charges against Ripple executives to expedite an appeal process. He argued that the SEC dismissed the case due to its low chances of success. However, it is clear that the financial regulator will continue to pursue other aspects of the case against Ripple, including the classification of XRP sales as an investment scheme.
Potential for a Settlement
The dismissal of charges against Garlinghouse and Larsen has sparked speculation about a potential settlement between the SEC and Ripple.
Hot Take: The SEC’s Dismissal and Ripple’s Future
The SEC’s voluntary dismissal of its case against Ripple executives Brad Garlinghouse and Christian Larsen has left the crypto community in anticipation. While this means that the scheduled trial for April 2024 will not proceed, the SEC is still pursuing other parts of the case against Ripple. The dismissal has raised questions about the possibility of an immediate appeal by the SEC, with differing opinions among experts. However, negotiations involving the substantial amount at stake are expected to take longer than eight months, making an appeal unlikely before 2024. Despite the dismissal, it is evident that the SEC will continue its legal battle against Ripple, leaving room for potential settlement discussions in the future.
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