Summary
A federal judge in the Southern District Court of New York has decided to send the lawsuit between Ripple and the Securities and Exchange Commission (SEC) to trial, rather than conclusively resolving the matter. The dispute revolves around whether Ripple’s native XRP token is an unregistered security and if its sale is illegal. The SEC accused Ripple of raising $1.3 billion through the sale of XRP and also sued CEO Brad Garlinghouse and co-founder Christian Larsen. The judge partially granted summary judgment motions from both sides, leaving the case open until trial or a settlement is reached. A trial date will be set in a separate order.
Key Points
– A federal judge declined to conclusively resolve the lawsuit between Ripple and the SEC, sending it to trial.
– The dispute centers around whether Ripple’s XRP token is an unregistered security and if its sale is unlawful.
– The SEC accused Ripple of raising $1.3 billion through the sale of XRP and also sued CEO Brad Garlinghouse and co-founder Christian Larsen.
– Summary judgment motions from both sides were partially granted, leaving the case open until trial or settlement.
– A trial date will be determined in a separate order.
Hot Take
This decision by the federal judge to send the Ripple-SEC lawsuit to trial prolongs the legal battle and keeps the outcome uncertain. It highlights the ongoing debate over whether XRP should be classified as a security and adds to the regulatory uncertainty surrounding cryptocurrencies. The eventual trial and its outcome will have significant implications not only for Ripple but for the broader cryptocurrency industry in the US.
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