Ripple’s SEC settlement has faced pushback from legal experts.
Attorney Fred Rispoli criticized Ripple CEO Brad Garlinghouse and executive chairman Chris Larson for partially settling the SEC's charges instead of fighting them in court. He believes they missed a huge opportunity to fully defend themselves, particularly the “aid and abetment” claims. According to Rispoli, Ripple had a strong case, and the SEC did not have enough strong evidence that the whole trial could be used in their favor.
A missed opportunity for key witnesses
Rispoli also said that if Ripple's executives had gone to trial, key people such as former SEC Chairman Jay Clayton could have been called to testify. This may have provided important insights into how the SEC views cryptocurrencies such as XRP. These testimonies could have strengthened Ripple's defense and helped other crypto companies in future legal battles.
Ripple Counter Strategy
Ripple is now filing an appeal against parts of the 2023 court ruling. While the judge ruled that XRP sales to regular investors are not securities, the SEC is still trying to challenge certain aspects of the decision, particularly regarding institutional sales. Ripple's head of legal, Stuart Alderotti, is confident that their case will now look stronger. This allows XRP to maintain a strong position in the market, free from immediate regulatory concerns, and give investors hope for the future.
Questions about the SEC filing deadline
There was some debate over whether the SEC filed the appeal on time. Some people noted that the SEC filed its brief a day late, but the agency insisted it met the deadline. Importantly, the SEC's appeal does not challenge the ruling that XRP is not a security when sold to retail investors, meaning that part of the ruling remains intact.
What's next for XRP?
XRP traded around $0.55 on Friday, showing a small gain of less than 1%. Traders are responding to the SEC's appeal in the case of Ripple, which does not question the safety of XRP as a security, confirmed in the decision of July 2023. This legal clarity is good news for XRP, and there is hope that it will lead to the approval of an XRP ETF in the US. If prices decline, support may be found at $0.5319 or $0.3843.
Do you believe this is the main path for the price of XRP?
