Ripple vs SEC: Attorney Reveals Key Details On The Next Important Date
The post Ripple vs SEC: Attorney Reveals Key Details On The Next Important Date appeared first on Coinpedia Fintech News
The SEC v Ripple Labs are preparing for a crucial judicial battle on February 20, 2024. All the eyes are on the case as this is the only thing that can turn the case upside down. Ripple is confident in its ability to negotiate the SEC’s tactics to extend the legal process for financial advantage, even though the SEC may be celebrating a previous success forcing it to release financial documents. Meanwhile, legal experts reveal some key details.
Filan Update Adds Weight to February 20th Hearing
Renowned attorney James K. Filan chimed in on the importance of February 20th in the SEC vs Ripple legal battle. Ripple is expected to respond to the SEC’s inquiries on this date, marking a crucial milestone in the ongoing case.
Right now, the whole controversy revolves around the financial documents. In the remedies phase of the litigation, the court determines sanctions for Ripple’s alleged securities law violations, specifically its sales of XRP to institutional clients. The SEC filed a motion to require Ripple to provide its audited financial statements from 2022 to 2023 and contracts for sales after the lawsuit started to help the court decide.
Plus, the SEC also asked for information on how much profit Ripple made from selling XRP to big investors after the lawsuit started. On this Ripple resisted at first, but Magistrate Sarah Netburn sided with the SEC. Now Ripple has to provide the requested records by February 20th.
Impact on Ripple’s Future XRP Sale
The upcoming release of Ripple’s financial records will greatly affect how the court decides what measures are best. In addition to fines, the threat of an injunction against Ripple’s future sales of XRP to big clients can also be affected. The SEC says these financial records are very important for determining if such an injunction is needed. If it is, Ripple might have to register with the SEC before selling XRP to institutional buyers in the U.S.
Also Read: Ripple Looking To Build World-Class Custody Infrastructure – Posted A New Job Opening
What Next?
Looking ahead, March 13th through April 29th marks the next significant phase in the lawsuit, during which parties will submit their respective briefs about remedies litigation. Following this period, the court will determine the appropriate penalty for Ripple’s alleged violations. Legal experts and Ripple CTO David Schwartz posit that resolution may occur this year, though the specter of appeals could prolong proceedings into 2025 or 2026.
Potential Appeals and Conclusion
Appeals are still possible since Ripple and the SEC can challenge disagreeing decisions. Ripple benefited from last year’s summary judgment, but the SEC still disputes sections of it. The court denied the SEC’s interlocutory appeal, complicating the judicial procedure. The district court may hear more appeals if the case ends this year.
As February 20th approaches, the XRP community braces for the next chapter in this twisted lawsuit, which could impact Ripple, XRP, and digital asset regulation.
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