• The case between the SEC and Ripple has been ongoing since December 2020, with the SEC accusing Ripple of selling its token without registering it as a security.
• John Deaton, founder of CryptoLaw, reveals why Judge Torres is delaying the ruling on the lawsuit. He believes that Judge Torres is taking her time to ensure no mistakes are made in her summary judgment.
• Deaton believes that this case could change regulations for digital currency in the US and that Judge Torres wants to take her time to make sure she makes a decision that will stand up to scrutiny.
Ripple Lawsuit Against SEC
The Securities and Exchange Commission (SEC) has filed a lawsuit against Ripple Labs Inc., accusing the company of executing an unregistered sale of its cryptocurrency tokens, XRP. The lawsuit has been ongoing since December 2020, with both parties awaiting a summary judgement from Judge Analisa Torres.
John Deaton’s Explanation
John Deaton, founder of CryptoLaw, has revealed why Judge Torres is taking so long to rule on the case. He believes that because this case could potentially change laws for digital currencies in the US, she wants to take extra care when making a decision and ensure it will stand up to scrutiny from either party if necessary.
XRP Community Impatience
Members of the XRP community have expressed their dissatisfaction with the delay and have demanded reasons for it. They had expected a summary judgement by March 2021 but have yet to receive one.
Deaton also noted that because this case is so critical for Ripple, especially if she rules against them; there is immense pressure on Judge Torres which she may not have experienced before in her career as a judge. Therefore, he believes it is wise for her to wait another two months before making her decision so she can be sure she makes no mistakes in her summary judgement.
Overall, although members of XRP’s community are impatient about when they will receive their ruling; Deaton believes that it is important for Judge Torres to take extra care when making such an important decision as this one could potentially change how cryptocurrencies are regulated within the United States and needs to be defended satisfactorily whichever way it goes.