Following the recent development in the legal battle between Ripple and the SEC, the company is now facing a crucial decision regarding its cross-appeal. The SEC’s decision to drop its appeal against Ripple has brought some relief to the company, but there are still unresolved issues concerning the $125 million fine imposed by Judge Analisa Torres.
Ripple’s CEO, Brad Garlinghouse, revealed in a recent interview with Bloomberg that the company has not yet made a decision on its cross-appeal. The main point of contention seems to be the hefty fine and other aspects of Judge Torres’ decision that Ripple believes require further clarification.
The $125 million fine and the permanent injunction against Ripple’s future sales to institutions have been major sticking points in the legal battle. Garlinghouse expressed his concerns about the fine, especially now that the SEC has signaled a shift towards a more crypto-friendly stance under new leadership.
The CEO highlighted the fact that the case has already established that XRP is not a security, which was a significant legal victory for Ripple. However, he emphasized the need to address the remaining issues, particularly the fine and injunction, to ensure a clean resolution of the lawsuit.
Ripple finds itself at a crossroads, with Garlinghouse noting that the company must decide whether to continue its cross-appeal to address the outstanding issues or negotiate with the SEC to potentially drop everything, including the $125 million fine. While Ripple has already paid the fine and complied with part of Judge Torres’ decision, the company is keen on recovering the money if possible.
Legal experts, such as Fred Rispoli, have expressed surprise at the SEC’s decision to drop its appeal without requiring Ripple to dismiss its cross-appeal first. Speculations suggest that the parties may be working towards a settlement that could involve Ripple dropping its cross-appeal in exchange for a reduced fine. The details of any potential agreement, including the fate of the permanent injunction, remain uncertain.
As Ripple navigates this critical juncture in its legal battle with the SEC, the outcome of the cross-appeal and any potential settlement agreements will have significant implications for the company’s future operations in the U.S. and the broader crypto industry. Stay tuned for further updates on this evolving legal saga.