SEC v. Ripple: Judge orders controversial deposition of ex-SEC Director

Rick Steves

The deposition will take place on Monday, July 19.

Judge Sarah Netburn has ordered William Hinman, former SEC Director of Corporation Finance, to depose next Monday.

Ripple’s subpoena had found great resistance from the Securities and Exchange Commission as his deposition could be key to clarify the SEC’s policy on digital assets, despite the agency stating his speech in 2018 regarding the nature of Ethereum and Bitcoin was his personal views only.

The Judge ruled in favor of Ripple Labs as “this is not a run of the mill enforcement case by the SEC” and because SEC v. Ripple is unique and the public interest in the resolution of this case is substantial.

She also said she is “very much disinclined” to have Mr. Hinman sitting twice and admitted that the SEC will likely direct Hinman not to answer much of the questions. Still, the Judge asked both parties to work out the scope of the deposition.

During the hearing, Judge Netburn asked why the SEC said that privilege would be breached if the scheduled deposition is about a public speech based on his personal views and not on behalf of the SEC, as the agency argued.

Hinman’s 2018 ETH speech was “the central question” for the Judge. The SEC admitted that its staff participated in the drafting of the speech. Ripple’s counsel added that ex-SEC Chair Jay Clayton told Congress that speech was an example of transparency on how the agency was treating cryptocurrencies.

The SEC argued that anything Hinman ever said is privileged as “deliberative” and told the Judge the deliberative process privilege would be invoked if Hinman was deposed.

Despite the ruling going in favor of Ripple, the blockchain firm’s counsel complained that the SEC is “withholding every part of every internal memorandum” citing privilege and its position is “untenable” and “prejudicing” the defense.

Ahead of the hearing, John E. Deaton, the attorney who has previously filed a Motion to Intervene in the name of XRP holders, published an opinion piece with his line of questioning for the deposition.

Read this next

blockdag

Top Crypto Investment: BlockDAG Outpaces Bitcoin Price and Cardano ADA Upgrades, Securing $19.3M in Revolutionary Presale

After plummeting below the crucial $70,000 mark amidst geopolitical tensions, the Bitcoin price is signalling a recovery as it climbs past $63,000. Concurrently, Cardano ADA upgrades, particularly the much-anticipated Chang Hardfork.

Fundamental Analysis, Tech and Fundamental

Global FX Market Summary: Middle East, US economic data, Eurozone data April 22 ,2024

US Dollar strengthens as easing Middle East tensions and strong economic data boost investor confidence, while dovish central banks and weak data weigh on the Euro.

Digital Assets

Thailand moves to block crypto websites to combat online crime

Thai authorities announced that they will block access to unauthorized cryptocurrency platforms. The decision was made after a meeting of the Technology Crime Prevention and Suppression Committee.

Tech and Fundamental, Technical Analysis

GBPUSD Technical Analysis Report 22 April, 2024

GBPUSD currency pair can be expected to fall further toward the next support level 1.2200, previous strong support from November.

Fintech

TT now enables users to create synthetic multi-leg instruments

“TT Splicer combines the ease and flexibility of TT’s market-leading Autospreader with the power of our best-in-class execution algos to uniquely minimize slippage and optimize trade execution when trading synthetic multi-leg spreads.”

Fintech

Imandra launches FIX Wizard: AI assistant for FIX connectivity suite

“LLMs hold tremendous promise, but ultimately cannot be trusted in regulated environments. By combining their strengths with scalable, rigorous automated reasoning, we obtain a kind of magic: conversational interfaces with correct reasoning and domain-specific skills.”

Chainwire

Sui Overflow Hackathon Funding Pool Balloons to $1,000,000 as New Sponsors Join

Alibaba Cloud, AngelHack and dWallet are among the latest supporters for the global event.

Institutional FX

Liquidnet launches SuperBlock Matching for equities trading

“The creation of a protected space to trade the most challenging blocks is a direct response to a request from our Membership and is an extension of our existing block trading offering, to facilitate more complex and nuanced trades.”

Retail FX

Midas raises $45 million to expand brokerage beyond Turkey

Midas has raised $45 million in equity funding to expand and roll out three new products: cryptocurrency trading, mutual funds, and savings accounts.

<