Ripple’s CTO, David Schwartz, talked about a recent move by the US Securities and Exchange Commission (SEC) in response to a key decision about Ripple’s XRP token. Judge Analisa Torres, ruled that XRP isn’t a security, which was a huge win for Ripple. But now the SEC wants to quickly appeal the other aspect of the actual decision, which has stirred internal debate among the XRP holders and experts.
In contrast to the fact, David Schwartz has clarified his stance on Twitter that the SEC’s appeal is legitimate as the lawsuit isn’t over yet, so they should have the right to appeal. However, for SEC this is an unusual case and the “interlocutory” appeal is the only way to speed up the year-long cases. This way, they can quickly solve the case by looking at different decisions made by different judges in one single attempt.
Without interrupting the actual case the court will only figure out what the Defendants might have done wrong in one simple process. But Schwartz explained that it has to be dealt with due diligence, as they can make the already lengthy legal process even longer.
Yes. A party that loses on any claim or issue in their suit is entitled to appeal any adverse rulings at the conclusion of the suit. The SEC is asking for permission to appeal here because the suit is not complete yet for any party.
You can see why there would be a rule like…
— David “JoelKatz” Schwartz (@JoelKatz) August 18, 2023 Whereas according to Jeremy Hogan, a legal expert, this is legally a “non-motion appeal” by SEC;
This is the SEC’s request to allow it to file an appeal.
But it’s NOT an appeal itself.
Is it an appeal you ask? NO! It’s not.
This is legally a Non-Appeal motion.
And no, it’s not appellate in nature.
Thank you. https://t.co/W7RIeNNSTy
— Jeremy Hogan (@attorneyjeremy1) August 18, 2023 In response to the move, Ripple disagrees with this idea and thinks the main case Ripple Vs SEC should keep going while the appeal is being dealt with. Many in the Bitcoin community also view Schwartz’s statement as a response to speculation that the SEC may appeal Judge Torres’ verdict to higher courts.
XRP Community Stands StrongHowever, one crypto analyst JacktheRipple said, there is absolutely no impact of the appeal on XRP. Despite some recent declines, XRP will soon touch the $10K figure and replace Bitcoin. Having said that, many think that SEC attacked XRP to slow down Ripple and let other companies develop their technology so that Ripple doesn’t have a monopoly on cross-border payments.
What Next? From here on if SEC’s appeal is approved, there will be three possible scenarios. The first one is that if they appeal it may impact the overall legal suit between Ripple vs SEC case. Second, if the court grants such appeals it will give the impression that every small section of the case can be appealed. Making the actual legal case lengthy and complicated.
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