Last month, the ongoing legal battle between Ripple and the SEC ended, and the decision deemed XRP trading on exchanges legal, with Ripple being fined $125 million.
The $125 million fine was welcomed by Ripple and the cryptocurrency market, as the SEC’s penalty demand was $2 billion.
However, the parties agreed to postpone payment of the $125 million fine.
Ripple filed a petition with the Southern District Court of New York yesterday requesting a deferment of the payment of a $125 million fine.
Ripple’s legal team proposed in the petition that 111% of the penalty amount (approximately $139 million) be deposited into a bank account by the end of the appeal period or within 30 days after the appeal is completed.
While the SEC accepted the request for a postponement, Ripple’s move was interpreted as the SEC’s appeal of the decision.
The fact that Ripple chose to wait for the outcome of the appeal process rather than pay the penalty and that the SEC accepted the postponement was considered an indication that the possibility of the SEC appealing was still on the table and that the litigation process was not over yet.
Ripple’s sentence is subject to the court’s formal approval to be postponed. Without Judge Analisa Torres’ approval, the postponement will not be valid.
Ripple CEO Brad Garlinghouse said the court decision was “a victory for Ripple.”
*This is not investment advice.
