A former SEC regional director has offered a measured perspective on recent developments in the Ripple lawsuit. His comments arrive as Ripple and the SEC jointly requested that the Second Circuit pause their appeals while awaiting an indicative ruling.
Ripple and the SEC filed a renewed motion for an indicative ruling after Judge Analisa Torres initially denied it in May. Judge Torres would need to provide an indicative ruling as to whether the court would dissolve the injunction and release the escrow, with $50 million going to the SEC and $75 million returned to Ripple.
Moreover, the SEC has a deadline of August 15, 2025, to submit a status update. This procedural lapse leaves the XRP community in suspense, and investors and supporters keenly watch each step taken by the court.
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SEC Veteran Weighs In Amid Court Pause
Despite the SEC’s extended silence, Marc Fagel, a former regional director at the agency, recently broke his silence. He emphasized that predicting Judge Torres’s response remains highly uncertain.
Additionally, Fagel noted that Judge Torres’s potential modification of her prior ruling could go either way. He stated that he could “see it going either way,” underscoring the complexity of the court’s decision-making process.
Meanwhile, some XRP supporters on X expressed optimism about the refiling. One comment described it as “baffling” if Judge Torres were to reject the motion a second time.
However, Fagel cautioned against overconfidence, emphasizing that legal outcomes often defy expectations and that speculation remains risky until the court issues a ruling.
Court’s Next Steps and Implications
Should the court grant the indicative ruling, it may dissolve the injunction and authorize the distribution of the escrow funds. This action would allocate $75 million back to Ripple and $50 million to the SEC.
As a result, the SEC appeal and a cross-appeal by Ripple might be dropped. This would officially close a case that started in December 2020 and rocked the crypto industry.
Moreover, it would douse the injunction, which would be a major step in bringing closure. It would also demonstrate Judge Torress’s eagerness to change her previous approach to law.
At least, the two parties have to wait until mid-August for the SEC to file its filing. Such a status update will decide whether the appeals will languish or lead to active litigation of the case.
Conclusion
With an SEC veteran weighing in and a joint request to pause appeals, the Ripple case stands at a critical juncture. The spotlight is now on Judge Torres’s next move and the SEC’s upcoming update, which will likely shape the final resolution of this landmark legal battle.
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