Ripple Labs is set to address the US Securities and Exchange Commission (SEC) with the submission of its Form C, detailing its appeal against the regulatory agency’s attempts to overturn a significant ruling made by Judge Analisa Torres in 2023. This action occurs as Ripple endeavors to clarify its stance following the SEC’s recent appeals concerning different elements of the case.
Ripple Executives Display Confidence
The SEC’s appeal follows a district court ruling that determined Ripple’s institutional sales of XRP did not constitute securities, a crucial issue in the ongoing litigation.
As noted by FOX journalist Eleanor Terret, the SEC has sought to contest nearly every aspect of its losses at the district court level. Nevertheless, Ripple plans to concentrate its appeal on this ruling, asserting that the SEC’s claims misrepresent the nature of its sales.
In an interview conducted in Miami last week, Ripple CEO Brad Garlinghouse and General Counsel Stuart Alderoty conveyed their strong belief in a favorable outcome from the Second Circuit Court of Appeals.
Alderoty further commented on the statistical likelihood of reversal in such cases, indicating that when a party loses at the district level, the probability of a successful appeal is usually around 10% or less.
Alderoty’s confidence is strengthened by his belief that the Second Circuit may uphold Judge Torres’s ruling and broaden its application. “I believe it will not only affirm Judge Torres; I think they will enhance her ruling,” he remarked. Garlinghouse echoed his sentiments, stating:
I am immensely confident that we’re going to win the appeal, which would significantly undermine Gary Gensler’s entire agenda regarding crypto regulation.
Garlinghouse Discusses US Election Implications
In a recent discussion with CNBC, Ripple CEO Brad Garlinghouse also shared insights on the current state of the market regarding regulations and the potential changes the upcoming US election could bring to digital assets.
Garlinghouse expressed optimism about the post-election environment, stating that this election holds significant importance for the future of cryptocurrency. He believes that, irrespective of the outcome, the next Congress will likely adopt a more pro-crypto and pro-innovation stance than ever before.
Trump has come out early and “very aggressively” in support of crypto, proclaiming himself the “crypto president,” Garlinghouse remarked. He acknowledged that Team Harris has taken a more intricate approach, but mentioned that this week they provided some of their most constructive comments on cryptocurrency.
Garlinghouse emphasized Harris’s experience in Silicon Valley, reflecting her consistent support for technology over the years. Though she has been relatively reserved on crypto-related matters, he expects a reset in the regulatory landscape, regardless of the election outcome.
“Regardless of what happens, we’re going to move away from a failed approach from the Biden administration,” he asserted, citing the SEC’s actions as part of a broader antagonism toward crypto. Garlinghouse concluded:
No matter what occurs in this next election, a reset is forthcoming. We can debate the extent of that reset, and there is certainly a variety of opinions on that, but we will witness progress moving forward, and I am genuinely looking forward to that.
As of this writing, XRP is trading at $0.53.
Image by DALL-E, chart from TradingView.com
