The SEC’s appeal against Judge Torres’ decision has been filed with the US Court of Appeals. This appeal challenges certain parts of the July 2023 verdict in favor of Ripple, which confirmed XRP’s position as outside securities regulations for programmatic sales.
How does the Ripple-SEC case end?
According to reports, there is a lot of confusion currently regarding this appeal. While these confusions stand, one XRP enthusiast on X predicts that the SEC and Ripple could reach a settlement within the 14-day window following the SEC’s “Notice of Appeal.”
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His reasoning? Well, “The SEC wants more money and appealed against the $125M.” He adds that XRP’s status as a non-security remains unaffected.
However, former SEC lawyer Marc Fagel has offered clarity, indicating that the appeal does not concern the penalty amount, and there is no viable foundation for a settlement in this case.
He explained that the SEC had previously initiated an interlocutory appeal concerning programmatic sales a year prior, indicating a consistent strategy in their actions. In response to the inquiry about the potential for settlement, Fagel said that although settlement remains a theoretical option, there is no rational foundation for predicting one in this particular case.
In addition, lawyer Bill Morgan responded to a tweet to clarify that the SEC has submitted only a notice of appeal rather than a formal appeal. This suggests that the SEC might continue talks with Ripple and could possibly arrive at a settlement without proceeding with a formal appeal.
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Ripple CEO Brad Garlinghouse thinks the SEC’s appeal is “misguided” and “infuriating”. He adds, “While we’ll fight in court for as long as we need, let’s be clear: XRP’s status as a non-security is the law of the land today – and that does not change even in the face of this misguided – and infuriating – appeal.”
