With just 32 days left for the appeal and SEC’s silence post aug 7 is brewing the market with No appeal propaganda. Ripple Labs is hitting pause on the $125 million penalty as their legal battle with the SEC takes another twist. With the SEC hinting at a possible appeal of the August 7th ruling, Ripple’s legal team has successfully requested to delay the hefty payment.
Both sides are now eyeing their next move in what could be a game-changing showdown!
Ripple vs SEC Update
In a major development, Judge Torres has approved Ripple’s request to hold $125 million in a bank account while the SEC considers its next steps. This temporary hold allows Ripple and the SEC time to appeal or respond to the pivotal ruling regarding XRP’s programmatic sales.
Ripple’s legal team, in a September 4 filing, secured approval from the SEC to delay paying the $125 million penalty until after September 6. The attorneys proposed depositing $139 million, representing 111% of the judgment amount, into a bank account for 30 days while both parties assess their next steps.
Lawyers Weigh In on SEC’s Case Weakening
The court’s ruling extends the timeline for potential appeals, with both Ripple and the SEC having the opportunity to file. If an appeal moves forward, the case could take years to resolve. While Ripple initially indicated no plans to appeal, legal experts highlight that the company may still need to cross-appeal to avoid accepting the $125 million penalty.
Fred Rispoli, a pro-XRP lawyer, argued that a ruling on the SEC appeal may not happen until 2026. He also noted that the SEC’s lawsuits against crypto exchanges have weakened its position, making an appeal less likely. Rispoli predicted an 80% chance that the SEC might drop the appeal if Hester Peirce takes over as SEC Chair.
As uncertainty grows, Ripple’s Chief Legal Officer, Stuart Alderoty, remains bullish that an appeal won’t significantly alter the case’s outcome. He believes the SEC has only a 10% chance of overturning the case through an appeal.
XRP Market Reaction
The uncertainty surrounding the Ripple SEC case has impacted XRP’s price, with the token losing all of its recent gains. XRP is currently trading at $0.55, with a 15% drop in trading volume over the past 24 hours. Open interest in XRP futures has also declined by 0.67%, reflecting waning interest from derivatives traders.
What’s Next for Ripple vs SEC?
Ripple and the SEC must decide their legal alternatives in the coming months. The crypto sector may be on edge if the appeal continues. XRP holders are watching for a resolution that could affect the crypto market. However, the XRP community is unclear if the top regulator will appeal the August 7 partial victory as they have until October 6 to challenge the ruling.
Also Check Out: Ripple News: When Will the XRP Price Hit the New Ath? Here’s the Timeline
