With the nearly three-year legal dispute between the U.S. Securities and Exchange Commission (SEC) and Ripple approaching the end, pro-XRP lawyer James K. Filan has informed the community of the next crucial date in the case: November 9, 2023.
The Next Phase In Ripple-SEC Suit
James Filan told his followers on the X (formerly Twitter) platform about the importance of November 9 in the XRP case.
According to a letter sent to Judge Analisa Torres, Ripple and the Securities and Exchange Commission should meet on the said date and confer the potential briefing schedule regarding the pending issue in the case. Particularly, the focus will be on what remedies are suitable to address Ripple’s alleged Section 5 violations related to its institutional sales of the XRP cryptocurrency. The SEC is seeking restitution upwards of $700 million, which will undoubtedly strain Ripple — having already spent $200 million defending itself against the securities regulator.
As the penalty phase draws closer, many expect an intense tussle between the two parties over the amount of fine the crypto startup should pay. Fox Business journalist Eleanor Terrett observed that Ripple would negotiate down the penalty, and the SEC, aiming to make a public statement, will likely insist on a huge sum.
The SEC has experienced a series of setbacks in its case against Ripple. On Oct.19, the SEC announced that it would no longer pursue aiding and abetting charges against Ripple’s CEO Brad Garlinghouse or Executive Chairman Chris Larsen. Judge Torres officially signed an order days later dismissing the case against Ripple’s top leaders.
The first and most significant legal win for Ripple was monumental, even if it was partial: Judge Analisa Torres declared that Ripple had not breached securities laws by selling XRP to retail customers via exchanges, but it did break the law when selling tokens directly to institutional investors. Ripple also won recently when Judge Torres denied the SEC’s request for an interlocutory appeal.
Further Implications For XRP And Broader Cryptosphere
While details of the Nov. 9 meeting remain scanty, it’s a critical point in the civil lawsuit. The outcome of the meeting could have far-reaching implications for Ripple, XRP, and the cryptocurrency industry at large, as it could set a powerful precedent for the treatment of crypto assets in the U.S.
The price of XRP has rocketed by around 13.6% in the past week alone to trade at $0.56 at publication time. Given a key date is coming up, it remains to be seen whether the bulls will take complete control and launch the coin’s price to unprecedented heights beyond the $3 psychologically important zone.