Ripple vs. SEC: SEC’s Response Deadline, What Lies Ahead for Ripple on September 8?

The post Ripple vs. SEC: SEC’s Response Deadline, What Lies Ahead for Ripple on September 8? appeared first on Coinpedia Fintech News

Stuart Alderoty, Ripple’s Chief Legal Officer, revealed that the company has formally opposed the SEC’s request for an interlocutory (interim) appeal. Ripple has countered the SEC’s claim about XRP’s value and emphasizes its utility as a bridge currency for cross-border transactions. 

SEC’s Desperate Bid

After a ruling that Ripple’s programmatic sales of XRP did not violate securities law, the SEC sought approval for an interlocutory appeal. The agency argues that its quest is a purely “legal question”. However, the crypto community perceives that this is a desperate bid by the SEC. 

Ripple argued that the SEC hasn’t met the basic prerequisites for an interlocutory appeal, emphasizing that the agency hasn’t proven any of the required grounds—whether it’s a controlling question of law or a possibility of speeding up the litigation.

The Footnote No – 5 that Debunks SEC’s Claim

Alderoty highlighted one particular footnote, Footnote 5, debunks the SEC’s claim that XRP is “nothing but computer code with no inherent value,” highlighting instead its utility as a bridge currency for cross-border transactions. It is as if the SEC either fails to understand digital assets or is choosing to be willfully ignorant.

Crypto Community Reacts

As the documents hit the public domain, crypto Twitter erupted with commentary. Cowboy Crypto, a known crypto influencer, criticized the SEC’s “lack of allegiance to the law,” raising concerns about the SEC’s credibility and its strategy concerning digital assets.

Meanwhile, lawyer Jeremy Hogan likened the SEC’s case to a mutt that’s part Bloodhound and part Chihuahua—a beast with unclear lineage and even murkier intentions. In legal terms, this means the SEC has failed to present an issue of “pure law,” making their quest for an appeal a Herculean task.

The SEC has until September 8 to respond to today’s filing. The big question here is whether the SEC will come up with a compelling counterargument or find themselves stuck in legal limbo!

Now Read – XRP Lawsuit Update: Ripple Stands Firm Against SEC’s Interlocutory Appeal, What to Expect in Saturday Session?