Ripple has said that it has filed an opposition against the appeal that was planned by the US Securities & Exchange Commission, also known as the SEC. Meaning Ripple does not want the SEC to go ahead with its appeal against the verdict delivered by the court.
A little backstory, Judge Analisa Torres recently delivered a verdict that trading XRP on a secondary platform does not make it a security. This has gone against the expectations of the SEC, as this sole judgment is likely to affect other cases which are lined up. For instance, Solana, Polygon, and Cardano will be severely able to benefit from the judgment simply by quoting it during their session.
The SEC is looking to have a larger role in monitoring the said digital assets. Assuming the verdict goes on the final paper in the current scenario, the SEC will have very little say in its governance. That is, in the way XRP should be regulated. Therefore, the SEC had planned to file an appeal against the decision expressed by Torres.
Ripple has now made sure that that does not happen in the middle of the legal battle. The SEC was seeking permission via the interlocutory appeal request. Many industry experts had their word heavy on Ripple, understanding that it will eventually move up the game to dismantle the move. Most of the Web3 plans are likely to be moved out of proportion if the SEC succeeds in its endeavor.
Nevertheless, Ripple continues to push back the fight displayed by Gary Gensler, the Chair of the SEC.
A total of two points have been underlined by Ripple: there is no evidence to put on the table for the opposition, and there are many cases where the SEC had to wait before filing an opposition. The SEC may have to wait as its current position comes out as a partial defeat in front of the crypto industry.
That’s not the only worry that the SEC has on its plate at the moment. Reports are surfacing, claiming that the US Supreme Court is likely to interfere if the SEC appeals the ruling of Judge Torres. It has been stated that an appeal by the SEC may see the US Supreme Court take matters into its hands, reminding the regulator about its jurisdictions.
Judge Torres has, for now, cited the Howey Test to back her verdict. The test dates back to the 80-year case involving Florida citrus groves. The test claims that a token is secure only if the promoters have undertaken a promise to generate profits from specific actions. While the intentions of the SEC are obviously to protect the investors, the crypto industry claims that their actions are more likely to put the same investors and technological innovation at risk.
Ripple versus the SEC is still an ongoing matter, with a lot that can happen in the days to come.
