Is This The End of Ripple vs SEC Lawsuit? SEC’s Redacted Remedies Reply Could Change Everything

The post Is This The End of Ripple vs SEC Lawsuit? SEC’s Redacted Remedies Reply Could Change Everything appeared first on Coinpedia Fintech News

Right now, the market is split due to the SEC’s submission of a sealed remedial reply brief and exhibits in its complaint with Ripple. Today, the redacted copies of this brief will be released. The case is more interesting when both parties use strategy to protect their interests. 

Bill Morgan’s Counter Reaction on SEC’s Possible Reply Brief

In a recent X post, pro-XRP lawyer Bill Morgan noted the potential implications of a permanent ban on Ripple’s XRP sales. He believes the regulator’s response is more crucial than the penalty. 

One area of focus is the SEC’s assertion regarding the financial harm suffered by institutional buyers of XRP due to Ripple’s actions. Morgan carefully dissects the SEC’s broad interpretation of pecuniary harm, contrasting it with Ripple’s narrower viewpoint. He raises thought-provoking questions about the likelihood of disgorgement being ordered, hinting at potential avenues for appeal.

Can SEC Ban XRP Sales to ODL Customers? 

Moving ahead, Morgan also examines the SEC’s call for a permanent prohibition, specifically on Ripple’s ODL sales. He carefully outlines the SEC’s claim that Ripple’s main business is selling XRP to institutions, raising concerns about future breaches. Plus, Morgan also discusses Ripple’s attempt to restrict the injunction and the SEC’s argument.

Not All in Favor of Ripple!

Furthermore, he disagrees with Judge Torres’ ruling on ODL sales being classified as investment contracts. At the same time, he also lashes out at Ripple’s argument that they lacked clarity in differentiating these sales from other institutional and programmatic sales during the summary judgment phase. Ripple now faces the challenge of addressing this issue on appeal, as he expects the court will likely grant a permanent injunction, extending its scope to cover ODL sales.

But Some Differ’s

Attorney Jeremy Hogan announced the completion of the Ripple vs. SEC briefs, expressing his view that the SEC’s final response lacked impact. Hogan noted that the SEC did not address ODL sales, merely acknowledged Ripple’s attempt to re-litigate the issue. Furthermore, he mentioned that the SEC did not introduce any new information regarding damages. With the briefs finalized, the anticipation now shifts to the judge’s decision.

XRP Price Impact 

The SEC lawsuit has dampened XRP’s price, but there’s hope for a turnaround. Although it’s trading around $0.53, positive news from the Ripple vs. SEC case could push it past $0.55. Derivatives traders are also showing interest, with XRP futures OI increasing by nearly 4% in 24 hours, indicating a bullish trend in the futures market.