SEC Files Notice of Appeal in Ripple and XRP Case as Lawsuit Drags On

The US SEC has filed a notice of appeal to the Second Circuit Court of Appeals, confirming plans to appeal Judge Analisa Torres’s rulings.

In this Ripple XRP news today, a court filing on Wednesday revealed that the US top regulator notified the Appeals Court of its intention four days before the deadline. Notably, the SEC did not state what part of the ruling it was appealing, as the application was just a declaration of its consent.

The SEC vs. Ripple Case Drags On

Notably, the appeal was widely expected as the SEC attempted to contend Judge Torres’ ruling in 2023. However, the court tossed the interlocutory filing, stating the regulator could only appeal after the final judgment.

After yesterday’s court filing, an SEC representative noted that the regulator’s appeal wants to contend Judge Torres’ August 7 ruling. The spokesperson stated that the judgment conflicted with the Supreme Court’s decision, and the regulator intends to defend the long-standing securities law with the appeal.

When they the securities watchdog files the actual appeal, it will disclose the part of the ruling it seeks to contest.

XRP’s Security Status Not in Contention: Ripple CEO

While the crypto community waits to see the appeal’s specifics, Ripple CEO Brad Garlinghouse has reiterated that XRP’s security status is not up for contention.

In a tweet late Wednesday, Garlinghouse assured proponents that XRP was not a security and that the SEC agreed with that narrative. He noted that after the failed interlocutory appeal last year, the regulator revealed it does not intend to contend the ruling that the XRPL native token was a security.

“While we’ll fight in court for as long as we need, let’s be clear: XRP’s status as a non-security is the law of the land today,” the Ripple boss stated.

Ripple CEO , Brad Garlinghouse on SEC Appeal: ‘While we’ll fight in court for as long as we need, let’s be clear: XRP status as a non-security is the law of the land today.’

— TheCryptoBasic (@thecryptobasic) October 3, 2024

Ripple Considering a Counter-Lawsuit

Reacting to the appeal, Ripple’s Chief Legal Officer, Stuart Alderoty, expressed his disappointment with the latest twist. He noted that instead of accepting the final judgment, the SEC has continued to drag on the four-year-long case, which has been a “complete embarrassment for the agency.”

Alderoty further noted that Ripple was considering its options, including filing a counter-appeal. It bears mentioning that the case’s outcome was a partial victory for Ripple. As a result, the firm could also appeal part of the judgment that it found unfavorable.

Notably, the filing came a few hours after Bitwise filed with the SEC for an XRP exchange-traded fund. The asset manager confirmed its push for the investment vehicle after it was seen on Delaware’s website.

Meanwhile, XRP reacted to the latest twist, falling over 10% in the past 24 hours. At the time of writing, the asset was trading at 53.5 cents, maintaining a market cap above $30 billion.