The U.S. Securities and Exchange Commission (SEC) is expected to submit its initial report on January 15 regarding the appeals in the Ripple case. Although the SEC did not dispute the ruling that XRP is not inherently a security, it has challenged almost all arguments related to Ripple’s sales of XRP on crypto exchanges and personal sales by executives.
SEC Chair Gary Gensler and the Appeal Report
As SEC Chair Gary Gensler is set to leave his position on January 20 and there are predictions of a possible settlement, some XRP traders are questioning whether the SEC will present its main argument in the Ripple case.
“The SEC will comply with the court’s decision and continue with the process,” said Attorney Jeremy Hogan.
Experts suggest that the SEC will contest Judge Analisa Torres’ ruling on XRP programmatic sales. The SEC has maintained its position that Ripple conducted illegal securities sales amounting to over $700 million.
“The court agreed with the SEC that Ripple violated the law,” said former SEC lawyer Marc Fagel.
The SEC plans to provide additional arguments regarding Ripple’s sales of XRP on exchanges and personal sales by executives, discussing whether these sales should be considered as registered securities transactions.
Developments After the Appeal
Ripple executives having dinner with Donald Trump has raised hopes for the company’s growth in the United States. CEO Brad Garlinghouse stated that 75% of job postings are based in the U.S. and the company has signed more agreements in the past six weeks.
“A strong start!” exclaimed Brad Garlinghouse.
If Ripple emerges victorious in the Second Circuit Court, it could establish a precedent for other cryptocurrency cases, and the parties may pursue a settlement or rejection during the tenure of the new SEC Chair, Paul Atkins.