Pro-XRP lawyers speculate that both the U.S. SEC and Ripple will appeal Judge Torres’ final judgment.
Following the court’s final decision in the SEC v. Ripple lawsuit, the crypto community has been embroiled in a debate regarding whether the decision would trigger an appeal from any parties.
Ripple and SEC Will Appeal
Many legal experts, including Attorney Bill Morgan and James Murphy (MetaLawMan), speculate that both sides will appeal. Their prediction is based on the fact that the court’s final judgment ended in a partial victory for each side.
According to the decision, the court imposed a fine of $125 million against Ripple instead of the SEC’s $2 billion ask. It also slammed a permanent injunction restraining Ripple from future violation of Section 5 of the Securities Act.
While reducing the fine is considered a favorable ruling for Ripple, the permanent injunction is seen as a win for the SEC.
Ripple Reacts to Court Judgment
Notably, Ripple’s execs Brad Garlinghouse (CEO) and Stuart Alderoty recently expressed respect for this decision.
However, they did not comment on the section of the ruling restraining the company from selling “any securities” to U.S. institutions without obtaining a registration statement from the SEC. This suggests that the company could be deliberating on the matter to determine the next line of action.
Will SEC Appeal?
Conversely, the SEC has yet to issue an official statement regarding the final judgment. The SEC’s commentary will decide whether or not it plans to appeal the decision.
Nonetheless, famous XRP community member Sherrie emphasized the commencement of a 60-day countdown during which the SEC, Ripple, or both parties can officially appeal the final judgment. This countdown commenced after the court officially issued the final verdict yesterday.
Regarding the potential appeal, Sherrie asserted that the community should look out for the SEC’s press release regarding the ruling to gauge whether the commission plans to appeal. According to her, the SEC might not issue this press release if it intends to appeal the ruling.
Meanwhile, the SEC had attempted to appeal the court’s summary judgment on programmatic sales and other distributions. However, Judge Torres denied this request, ordering the agency to wait until all pending matters, especially the remedies phase, are resolved. Nothing stops the SEC from resuming its appeal efforts following the court’s final judgment.
Perfect Timing for Ripple
Meanwhile, the timing of the decision seems to be in Ripple’s favor. It is common knowledge that the Democratic Party is trying to rebuild its relationship with the crypto industry in anticipation of the upcoming U.S. elections.
According to reports, this development played a role in the SEC’s decision not to give the securities tag to third-party tokens, like Solana and Cardano, initially labeled as securities in the Binance lawsuit.
If the rumors are true, the SEC may not appeal the Ripple decision in an attempt to woo more crypto voters ahead of the election.
