Can the SEC Succeed in Its Appeal Against Ripple Labs?

Recently, the US Securities and Exchange Commission took the step of filing an appeal against Ripple Labs.

This action has been highly anticipated, leading many to speculate that the regulator might skip this step, as its chances of success appear limited.

This uncertainty likely contributed to XRP’s price plummeting by over 12% following the announcement, which caught many traders off guard.

Attorney Fred Rispoli is now analyzing the likelihood of the Commission succeeding in its bid to reverse Judge Torres’ ruling. It’s important to note that she determined institutional XRP sales qualify as investment contracts, whereas programmatic sales on exchanges do not. Additionally, she drastically reduced the fines initially claimed by the SEC by over 90%.

While speaking on the “Thinking Crypto” podcast, Rispoli mentioned that the SEC’s chances of winning will significantly depend on the judges assigned to the case panel.

“If there’s a panel that has a history of siding with the government consistently, the SEC’s odds increase. There could be a 70-80% likelihood that they will prevail.”

It’s important to highlight that the SEC has not yet clarified which specific aspects of the ruling it intends to appeal. This detail is crucial and will undoubtedly influence the case’s outcome.