XRP News: Ripple’s SEC Settlement Faces Backlash from Legal Experts

The post XRP News: Ripple’s SEC Settlement Faces Backlash from Legal Experts appeared first on Coinpedia Fintech News

Lawyer Fred Rispoli has openly criticized Ripple’s CEO, Brad Garlinghouse, and executive chairman, Chris Larsen, for settling part of the SEC’s charges instead of fighting them all in court. He believes they missed a big chance to fully defend themselves, especially against the “aiding and abetting” claims. According to Rispoli, Ripple had a strong case, and a full trial might have worked in their favor since the SEC didn’t have enough solid evidence. 

Missed Opportunity for Key Witnesses

Rispoli also noted that if the Ripple executives had gone to trial, key figures like former SEC chairman Jay Clayton could have been called to testify. This might have provided important insights into how the SEC views cryptocurrencies like XRP. These testimonies could have strengthened Ripple’s defense and helped other crypto companies in future legal battles.

Ripple’s Counter Strategy

Ripple is now filing a cross-appeal to challenge parts of a 2023 court decision. While the judge ruled that XRP sales to regular investors were not securities, the SEC is still trying to challenge some aspects of the ruling, especially regarding institutional sales. Ripple’s legal chief, Stuart Alderoty, is confident they will come out on top, saying their case looks even stronger now. This keeps XRP in a strong position in the market, free from immediate regulatory threats, allowing investors to remain hopeful about its future.

Questions About the SEC’s Filing Deadline

There’s been some debate about whether the SEC submitted its appeal on time. Some people noticed that the SEC filed its brief a day late, but the agency insists it met the deadline. Importantly, the SEC’s appeal doesn’t challenge the decision that XRP is not a security when sold to retail investors, meaning that part of the ruling remains untouched.

What’s Next for XRP?

XRP traded around $0.55 on Friday, showing a small gain of less than 1%. Traders are reacting to the SEC’s appeal in the Ripple case, which doesn’t question XRP’s status as a non-security, confirmed in the July 2023 ruling. This legal clarity is good news for XRP, and there’s hope it might lead to approval for an XRP ETF in the U.S. Technical indicators suggest XRP could rise by 10%, with a target of $0.60. Support might be found at $0.5319 or $0.3843 if prices drop.

Do you believe this is a major roadblock for the XRP Price?