SEC v. Ripple: Tension mounts ahead of key decision in XRP lawsuit

Rick Steves

Finance Feeds will be ready to cover the “biggest decision in the XRP lawsuit 2.0” and the reactions to it. 

The SEC v. Ripple lawsuit has frustrated the public for over a year, ever since the Securities and Exchange Commission, the plaintiff that brought the case against the blockchain technology company, claimed privilege in order to keep critical information from being disclosed in court.

After William Hinman’s speech was accepted as his personal opinion by request of the SEC – so it couldn’t be used on Ripple’s fair notice defense – the court allowed the related notes and emails to be produced to Ripple.

The SEC showed intolerance to handing over such documents, which led the agency to claim the speech was also public guidance, which would be protected by deliberative process privilege.  (read more here)

This controversy only got bigger as the SEC made new and bold claims to keep the documents away from the court and the defendants, including claiming the documents were protected by attorney-client privilege. (read more here)

Judge Sarah Netburn has recently called both parties to clear up things at a hearing. The Magistrate didn’t go soft on the SEC’s attorneys and confronted them with their contradictory arguments. (read more here)

The hearing was earlier this month and the court’s final ruling on the Hinman debacle is expected to come down this week.

The biggest decision in XRP lawsuit, again

Although the “biggest decision in the XRP lawsuit” was already called, in April 2022, when Judge Sarah Netburn denied the SEC’s motion for reconsideration, the upcoming ruling serves the same purpose: to put an end to the SEC’s attempts to prevent the production of the infamous documents.

The reason why “amici” attorney John Deaton called it the “biggest decision” is because of the consequences it would bring for the outcome of the case, the future of both Ripple and the SEC, as well as the future of XRP and probably the overall cryptocurrency ecosystem in the United States.

The expectation is that, like in the previous ruling, the court’s next decision will include “a bulletproof section” that prevents the SEC from delaying the issue further via an appeal to the 2nd Circuit.

Besides the lower probability of further delays, the upcoming order may trigger a settlement between both parties sooner rather than later. This is because many suspect the SEC will not produce its internal files, even if it costs it the whole case.

All eyes will be on the next ruling in the SEC v. Ripple lawsuit and Finance Feeds will be ready to cover the decision and the reactions to it.

Read this next

Digital Assets

USDC sees massive $10.4 billion outflows in March

Cryptocurrency traders have withdrawn more than $10 billion from the world’s second largest stablecoin, USDC, in less than three weeks even as concerns over the fallout from the Silicon Valley collapse have receded.

Interviews

OSTTRA’s Joanna Davies goes beyond 30-30-30 data standard at FIA Boca 2023

FinanceFeeds Editor-in-Chief Nikolai Isayev spoke with Joanna Davies about OSTTRA.

Interviews

CloudMargin’s Stuart Connolly on how to manage collateral amid high rates at FIA Boca 2023

FinanceFeeds Editor-in-Chief Nikolai Isayev spoke with Stuart Connolly about CloudMargin’s SaaS platform, said to be the only cloud-native collateral and margin management system in the industry, at a time of stress due to rising interest rates.

Interviews

Baton Systems’ Alex Knight on solving post-trade with DLT at FIA Boca 2023

FinanceFeeds Editor-in-Chief Nikolai Isayev spoke with Alex Knight about Baton Systems’ about rising settlement fails, collateral management, and the profile of DLT beyond cryptocurrencies.

Industry News

Wise claims 92% of banks hide or inflate FX fees despite Cross-Border Payments Regulation 2

“Banks continue to exploit loopholes in EU regulation to mislead their customers and overcharge them through fees hidden in inflated exchange rates.”

Industry News

Goliath Partners opens Miami headquarters to recruit C++ developers for fintech and trading

I’m extremely excited to be pursuing this venture and having the backing of such knowledgeable entrepreneurs who have seen success time and time again. We’ve already made brilliant headway working with leading investment houses and trading exchanges. It’s just the start, but we’re already making a huge difference with our work.”

Industry News

IOSCO calls for cooperation against cross-border scams, greenwashing, misconduct, and fraud

“Regulators need effective resources, practices, tools, and techniques to promote consumer protection and market integrity, which is supported through participation in critical multilateral forums such as IOSCO.”

Institutional FX

Archax rolls out tokenization engine as LawtechUK confirms legal standing of tokens

“As the UK’s first FCA regulated digital securities exchange, we are now building on this to pave the way to make traditional assets interoperate with Web 3.0.”

Technology

Broadridge migrates bond e-trading platform LTX to AWS

“LTX is committed to offering innovative e-trading technology that facilitates transparency and liquidity discovery. By migrating to AWS, LTX can leverage the scalability of the cloud to continue to deliver enhanced data and execution capabilities to our clients.”

<