XRP Lawsuit: SEC Has Only 10% Chance of Winning an Appeal, Ripple CLO Boasts

As a seasoned crypto investor with over a decade of experience navigating the volatile digital asset market, I have learned to maintain a calm and measured approach amidst the tumultuous currents of regulatory decisions and court rulings. The recent news that the XRP lawsuit might proceed to an appellate court has sparked a flurry of speculation within our community, but my confidence remains unshaken.


Although a previous court ruling imposed a $125 million fine on Ripple, it seems the U.S. Securities and Exchange Commission (SEC) may still be dissatisfied. In the crypto community, there is ongoing speculation that the XRP lawsuit has not yet reached its final resolution, as rumors suggest the SEC could choose to appeal the case.

XRP Lawsuit Might Go to Appellate Court

While there’s a possibility that the SEC could win their appeal, Stuart Alderoty, Ripple’s Chief Legal Officer, appears relatively unconcerned about the potential outcome. In his view, the chances of the SEC successfully appealing are quite slim, estimated to be around only 10%. However, this assessment is based on the assumption that the SEC follows through with their intention to pursue the case.

In a recent interview, I expressed my belief that the ongoing XRP lawsuit could potentially be wrapped up within the coming 24 days. Moreover, I highlighted that Ripple is actively preparing to meet the $125 million penalty to expedite the resolution of this case.

Nevertheless, he expressed his viewpoint concerning the SEC’s intention to challenge the recent court verdict regarding XRP. As Alderoty mentioned, history tends to be unfavorable toward appellants, with only a tiny fraction (less than 10%) of appeals in higher courts leading to the overturning of lower court judgments.

Translated: In this situation, the Ripple CLO pointed out that attempting an appeal would essentially be a wasted effort, and if the SEC acted logically, they wouldn’t do so. However, Alderoty also noted that the SEC often doesn’t behave rationally, as demonstrated in the past. Consequently, Ripple is fully prepared for the regulator to challenge them once more.

Despite any arguments to the contrary, Alderoty firmly believes that the court’s decision regarding the case is unequivocal. In other words, transactions involving the sale of XRP in the secondary market do not fall under the category of securities according to present legislation.

Future Prospects for XRP

As the XRP lawsuit unfolds, I’m keeping a close eye on how this situation might shape the future of XRP, particularly in relation to Ripple. The buzz is palpable about the potential launch of an XRP exchange-traded fund (ETF) in the near future. In fact, industry heavyweights like Binance US are suggesting that they could move past the SEC lawsuit and facilitate a brighter future for this altcoin.

Just now, the value of XRP temporarily spiked above its crucial threshold of $0.60. Yet, increased market fluctuations have since caused it to dip below this point. At the time of writing, CoinMarketCap indicated that XRP was being traded at $0.5682, marking a 0.17% rise over the past day.

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2024-08-16 14:54