Ripple’s CLO Calls for an End to the SEC Dispute
The legal confrontation between Ripple Labs and the U.S. Securities and Exchange Commission (SEC), initiated in December 2020, has persisted for four years. Ripple’s Chief Legal Officer, Stuart Alderoty, is urging the incoming administration under Donald Trump to resolve this prolonged dispute.
Alderoty’s Plea to Terminate the “Lawless Lawsuit”
The Ripple lawsuit, centered around allegations of raising $1.3 billion through unregistered securities sales of XRP, is now marking its fourth anniversary. Alderoty has publicly described this legal action as a “lawless lawsuit” and is advocating for its conclusion.
On the anniversary of the SEC’s lawsuit against Ripple, Alderoty expressed the need for the new administration to address the issues created by former SEC official William “Bill” Hinman, whose crypto regulation statements have sowed confusion. Alderoty is optimistic about a potential positive shift under a crypto-friendly SEC chair like Paul Atkins, which could restore trust and provide much-needed regulatory clarity.
Advancements in Ripple’s Legal Proceedings
Despite the ongoing legal challenges, Ripple has achieved significant progress. The SEC is expected to submit its opening brief by January 15, ahead of Gary Gensler’s departure as SEC Chair. The agency is appealing a previous ruling that favored Ripple, particularly in relation to the distribution and sales of XRP.
Moreover, a class action lawsuit against Ripple, its subsidiary XRP II, and CEO Brad Garlinghouse is nearing resolution. A district court recently ruled in favor of Ripple, and both parties are working towards an expedited final judgment.
XRP Price Dynamics Amid Legal Turmoil
The legal battle has significantly impacted the price of XRP, causing it to drop from its all-time high of $3.38 to as low as $0.15. Despite the challenges, XRP has experienced a remarkable 500% increase in the past month, currently trading at $2.18.
Analysts suggest that if XRP remains above the 26 EMA, it may attract more buyers, potentially pushing the price to $2.40. Increased transaction volume could signal a recovery, with the possibility of reaching $2.60 and eventually $3.
