The U.S. Securities and Exchange Commission (SEC) is scheduled to submit its initial report on the Ripple case appeals by January 15. Although the SEC did not dispute the ruling that XRP is not inherently a security, it has challenged almost all arguments related to Ripple’s sales of XRP on cryptocurrency exchanges and personal sales by executives.
With SEC Chair Gary Gensler set to leave office on January 20 and speculations of a potential settlement, some XRP traders are questioning whether the SEC will present its main argument in the Ripple case.
“The SEC will comply with the court’s decision and proceed with the process,” stated Attorney Jeremy Hogan.
Experts believe that the SEC will contest Judge Analisa Torres’ ruling on XRP programmatic sales. The SEC continues to assert that Ripple engaged in illegal securities sales worth over $700 million.
“The court agreed with the SEC that Ripple violated the law,” said former SEC lawyer Marc Fagel.
The SEC intends to present additional arguments concerning Ripple’s XRP sales on exchanges and personal sales by executives, debating whether these transactions qualify as registered securities transactions.
Following the appeal, hopes for Ripple’s growth in the U.S. have been buoyed by the executives’ dinner with Donald Trump. CEO Brad Garlinghouse highlighted that 75% of job postings are based in the U.S. and that the company has recently signed more agreements.
“A strong start!” exclaimed Brad Garlinghouse.
A potential precedent for other crypto cases could be set if Ripple emerges victorious in the Second Circuit Court, and both parties may seek a settlement or rejection during the tenure of the new SEC Chair, Paul Atkins.
