- Ripple’s legal battle with the SEC continues, with a resolution expected in spring 2024 despite rumors of an early resolution.
- A July ruling sided with Ripple, ruling that a previous XRP sale was not an offering of an investment contract, making it a temporary gain in the ongoing case.
- Ripple scored partial victories, including dismissing SEC appeals and approving executive charges, with the pivotal trial in April expected to influence the crypto sector’s outlook.
What’s New in the Ripple vs. SEC Saga?
The ongoing legal battle between Ripple and the United States Securities and Exchange Commission (SEC) has not offered much action recently and seems to be waiting for a resolution next year. Still, there are some developments worth watching.
For one, the US securities regulator called a confidential meeting in late November where it discussed specific topics, including the institution and disposition of injunction actions, the institution and disposition of administrative proceedings, resolution of litigation claims, and others.
This led conspiracy theory fans to speculate that some type of settlement between the SEC and Ripple may be announced sooner than expected. However, this was not the case, and the lawsuit is yet to be resolved in the spring of 2024.
A Brief Recap of the Ripple/SEC Conflict
The whole drama between the two entities began in December 2020 when the SEC filed a lawsuit against Ripple, accusing it of selling XRP (the native token of the blockchain venture) in an unregistered security offering.
The fight has gone through several phases, with both organizations opening fire on each other. A watershed moment came in mid-July this year when a US federal judge ruled that Ripple’s XRP sales years ago were not an offering of investment contracts. This sent the asset price soaring and gave the crypto firm a temporary lead in the struggle.
Additionally, Ripple achieved two additional partial wins in the following months. US magistrates rejected the SEC’s attempt to appeal the initial decision, while the CEO – Brad Garlinghouse – and executive chairman – Chris Larsen – were cleared of all charges brought by the watchdog.
It is believed that a grand trial to be held in April next year will reveal the outcome of this long saga. A potential decisive victory for Ripple could generate further excitement throughout the cryptocurrency sector, while an SEC victory could have the opposite effect.
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