<\/p>\n
Multiple crypto lawyers have theories regarding the U.S. Securities and Exchange Commission\u2019s (SEC) ongoing case against the payments firm Ripple.<\/p>\n
The SEC has dropped several big-name crypto enforcement actions this year, including lawsuits against Coinbase<\/a>, Kraken<\/a>, MetaMask<\/a> and investigations into Robinhood<\/a> and OpenSea<\/a>.<\/p>\n Attorney James \u201cMetaLawMan\u201d Murphy theorizes<\/a> that the SEC\u2019s unexplained delay in dismissing the Ripple case could be because the firm \u201cis negotiating hard to get the SEC to agree to vacate some or all of Judge Torres\u2019 decision.\u201d<\/p>\n The SEC first sued the San Francisco-based payments firm in late 2020 for allegedly selling XRP<\/a> as an unregistered security. In 2023, District Judge Analisa Torres ruled that Ripple\u2019s automated, open-market sales of XRP did not constitute security offerings, contrary to what the SEC alleged.<\/p>\n The judge did, however, side with the SEC\u2019s claim that Ripple\u2019s sales of XRP directly to institutional buyers were securities offerings.<\/p>\n The crypto legal expert Jeremy Hogan agrees<\/a> with Murphy\u2019s theory, noting that the delay in dismissing the case is likely due to the injunction in Torres\u2019 ruling.<\/p>\n \u201cThe court enjoined Ripple from (basically) making sales directly to customers. There are workarounds for that, but obviously Ripple would rather not have the injunction at all!<\/em><\/p>\n So, assuming the SEC is willing to work on this with them, the issue is this: once a court issues an injunction, the parties themselves can\u2019t simply agree between them to disregard the injunction! Trust me, many men have gotten in legal trouble by thinking that since they got back with their girlfriend, they could ignore the restraining order (a type of injunction) against being within 200 feet of her.<\/em><\/p>\n So, how do you dissolve an injunction? It\u2019s not simple, which is why I think the case doesn\u2019t resolve until April-May whereas all these other cases have already been dismissed.\u201d<\/em><\/p>\n Hogan also explains what he thinks Ripple needs to do to get the injunction dissolved.<\/p>\n \u201cRipple only has one shot at getting the injunction dissolved with the trial court so it will have to draft a very carefully worded motion. That takes time and the SEC will basically have to sign off on it \u2013 more complication.<\/em><\/p>\n Once that is agreed to, both parties stip to dismiss their appeals and then Ripple files its motion with the trial court. And then the judge has to rule on the motion which can also take some time.<\/em><\/p>\n That\u2019s how I see it playing out and that\u2019s why I think May is the month \u2013 although I could see the appeals being dismissed in April, prior to Ripple\u2019s brief due date.\u201d<\/em><\/p>\n Don’t Miss a Beat \u2013 Subscribe<\/a> to get email alerts delivered directly to your inbox <\/span><\/em>   Generated Image: Midjourney<\/em><\/span><\/p>\n<\/p><\/div>\n
\n
Check Price Action<\/a><\/span><\/em>
\n
Follow us on X<\/a>, Facebook<\/a> and Telegram<\/a><\/span><\/em>
\n
Surf The Daily Hodl Mix<\/a><\/span><\/em>
\n<\/p>\n
\nDisclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any losses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.<\/h6>\n<\/div>\n