Ripple to Respond to SEC’s Penalty Request by April 22

Ripple Labs Chief Legal Officer Stuart Alderoty has stepped up to defuse the misinformation about how the lawsuit between Ripple and SEC has been. This was one of the clarifications that had followed a post on X former Twitter post by a digital currency influencer known as ‘Crypto Eri’ that was not clear in detailing what the next procedure in the case was, most importantly, a final pretrial conference

CLO Clarifications on Ripple legal proceedings

Stuart Alderoty emphasized the inaccuracies in the social media post, including the rest of the date of the last pretrial conference. On the subject of the hearing, he informs that there will be no such conference as the SEC has discharged the charges brought against Ripple CEO Brad Garlinghouse and the company’s co-founder, Chris Larsen, according to Alderoty.

Seeing some confusion on next steps with the SEC vs. Ripple case. To clarify – Ripple will file its response to the SEC’s request for penalties by April 22 and the SEC has until May 6 to reply. There is no final pretrial conference because the SEC dismissed the charges against… https://t.co/Jn5Pw5rM30

— Stuart Alderoty (@s_alderoty) April 16, 2024

Ripple’s CLO mentioned the important dates of the matter. He revealed its recommendations for the penalties by April 22, 2024. Consequently, the SEC will have 15 days to respond to the motion. These deadlines are the all-around legal procedures after the regulator’s acceded standpoint in the suit filed.

Impacts on the case on the broader crypto market 

Such a legal confrontation between the SEC and Ripple is particularly interesting, considering that the case’s resolution could impact future US regulatory approaches to other crypto assets. 

XRP’s case initially concerned the token’s theoretical security or non-security nature. During this process, there have been different twirls and turns, which have influenced Ripples’s performance in the market, causing investor sentiment to be shaky.

Throughout Ripple’s legal battles, it has provided clarity, banishing any doubts and enabling all parties to be made aware of the current procedures. The crypto ecosystem stays observant of any development in publishing the agency’s findings, as the outcome could set the standards for prosecuting virtual assets within the U.S. legal system.