A recent rumor in the cryptocurrency community claimed that a U.S. court had approved a motion to expedite the final judgment in the ongoing lawsuit between Ripple Labs and the U.S. Securities and Exchange Commission (SEC). The news sparked excitement among Ripple supporters, who hoped this could mean the case, which has been dragging on for years, might resolve sooner. However, legal expert Bill Morgan debunked the rumor, clarifying that the alleged court expedition motion is unrelated to the SEC’s enforcement case.
Also Read: Ripple vs. SEC News: Major Victory as Court Approves Motion to Expedite Judgement
Legal Expert Clarifies Misunderstanding About Court Ruling
The confusion stemmed from a recent court development involving Ripple, but as Bill Morgan pointed out, the approved motion pertains to a California private civil lawsuit, not the SEC’s enforcement action against Ripple. The court’s decision was about class claims resolved in Ripple’s favor, allowing the company to move toward a final judgment in that case.
Morgan emphasized that this is a separate legal matter and does not directly impact the ongoing SEC case, which continues questioning whether XRP constitutes an unregistered security. The distinction is pertinent in that the rumors regarding the fast-tracked resolution of this case with the SEC were false, occasioned by interpreting recent moves by the court in the wrong light.
Advertisement
Speculation About the SEC Case Outcome Continues
While the recent confusion has been cleared up, speculation about the SEC vs. Ripple case remains widespread. Some legal experts, including Chris Giancarlo, former chairman of the Commodity Futures Trading Commission (CFTC), have suggested that the SEC may eventually abandon its case against Ripple, especially with SEC Chairman Gary Gensler expected to step down in January 2025. Others, like lawyers Fred Rispoli and Jeremy Hogan, believe the SEC might reduce penalties or settle the case.
The cryptocurrency community continues to watch closely as these developments unfold, particularly as the SEC has not approved any XRP exchange-traded fund (ETF) proposals. Many industry figures hope that a change in SEC leadership or regulatory priorities could bring a more favorable outcome for Ripple and the broader cryptocurrency market in the company’s future.
Also Read: Ripple Burns Over 46 Million RLUSD Tokens Amid Speculation of Upcoming Stablecoin Launch
Maxwell Mutuma
Maxwell is a crypto-economic analyst and Blockchain enthusiast, passionate about helping people understand the potential of decentralized technology. He writes extensively on topics such as blockchain, cryptocurrency, tokens, and more for top publications such as Coingape, Coin Edition, and The Coin Republic. His goal is to spread knowledge about this revolutionary technology and its implications for economic freedom and social good.