What Lies Ahead for the SEC After Appeal Denial? Insights from an Ex-Official

While the Ripple world is rejoicing in the legal win and interlocutory denial, something is bothering an experienced former SEC official. Let’s delve into what happened so far and why celebrating the win is too early for Ripple. 

Flashback to the Recent Ruling 

The U.S. Securities and Exchange Commission (SEC) recently lost a motion for an interlocutory appeal in its case against Ripple Labs, the company behind the cryptocurrency XRP. District Judge Analisa Torres denied the SEC’s motion, leading to a considerable stir in the legal and crypto communities. 

SEC May Not Appeal 

Many are predicting and looking at the case proceedings; they may not go for a trial even after the judgment because of the financial burden, lack of evidence, and fewer staff. Their only hope is to go for a settlement, as John Deaton, XRP lawyer and SEC critic, predicted. 

Think this is over? Stay tuned! Here, we bring you the rough patch that may create challenges in the future, highlighted by John Reed Stark, an ex-official SEC. 

Analyst Steek Response on Ripple’s Win

In a no-holds-barred analysis of Judge Torres’s recent Ripple case decision, John Reed Stark offers a different opinion in his X post. While many view the SEC’s denied appeal as a Ripple triumph, Stark cautions against premature victory laps. He raises a red flag, suggesting that the SEC might have an ace up their sleeve with a potential post-trial appeal. 

While he applauds John Deaton and the fervent XRP community for their spirited defense, Stark maintains a level-headed outlook on their ultimate impact. He also throws cautionary advice against Judge Torres’s decision as a universal precedent, echoing the judge’s reservations.

Alderoty’s Ripple Retort vs Stark’s Nod of Respect

In response to Stark’s comments, Stuart Alderoty, Ripple’s legal maestro, reminds us that XRP and Bitcoin could be the only crypto standing on firm legal ground. To his credit, Stark acknowledges this viewpoint, recognizing the critical challenges for XRP holders.

Yet, he remains firm in his belief of a potential plot twist, even sharing insightful articles to back his case against the SEC’s crypto crackdown. In an unexpected turn, Stark tips his hat to the defense’s shrewd tactics, a sentiment consistent with his previous critiques of the SEC’s approach. 

Though there won’t be much twist left in the case, many predict that 2024 will end XRP’s regulatory trauma. XRP, the 10th largest crypto, is trading at $0.52, slightly increasing from yesterday.