Fred Rispoli, a lawyer supportive of XRP and Ripple, discussed the SEC’s decision to appeal the Ripple case ruling by Judge Torres. When asked whether he anticipated this appeal, Rispoli noted that while he hoped it wouldn’t happen, he believed it was likely due to the SEC’s lack of accountability. The XRP lawyer also noted that there are 70% chances of the SEC losing this appeal.
Ripple vs. SEC Lawsuit Appeal Outcome Possibilities
In an interview with Tony Edward, Rispoli said, “There wasn’t too much of a downside for the SEC to file this appeal. Now granted it could be catastrophic for them if they lose, but even if that’s the case, there’s no accountability anyway.”
Rispoli explained also that the SEC’s appeal targets several elements of the case, particularly the firm’s programmatic sales and other distributions of XRP. He highlighted the importance of these sales, stating, “The programmatic sales are where it’s critically important”
According to Rispoli, these sales concern Ripple selling XRP on exchanges, which could open the door for implications affecting secondary sales and exchanges like Coinbase and Kraken. He warned that if the SEC wins this aspect of the case, it could lead to lawsuits against major crypto exchanges: “As soon as they win, they’re filing that case and the Coinbase case and the Kraken case.”
???? Will the SEC WIN the Appeal of the Ripple XRP Lawsuit?
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Attorney Fred Rispoli joined me to discuss all the details of the SEC’s appeal of Judge Torres’ ruling in the Ripple XRP Case.
Topics:
– Goal of the #SEC Appeal and Timeline
– Chances… pic.twitter.com/Lee3qvJnl8— Tony Edward (Thinking Crypto Podcast) (@ThinkingCrypto1) October 4, 2024
Regarding the SEC’s chances of winning, Rispoli pointed out that the outcome largely depends on the panel of judges assigned to the case. “The sad part about maybe the way our judicial system is structured in general is it’s really going to hinge on who are the three judges that get assigned.”
He suggested that if the judges are historically favorable to the government, the SEC’s chances could increase. However, he also estimated that Ripple stands a good chance of winning if the panel is fair or even slightly favorable, predicting “70-30 in Ripple’s favor.”
Potential Timeline of Appeal Phase
Rispoli also delved into the potential timeline for the appeal, noting that it would likely take several years before any resolution is reached. He estimated that the ruling wouldn’t come until “January of 2026.”
During this time, Judge Torres’ ruling remains the law, which provides a degree of security for institutions currently using XRP. However, future implications depend on the outcome of the appeal.
The broader context of the appeal could affect the entire crypto industry, especially with the SEC’s focus on multiple companies. Rispoli emphasized this, saying, “The SEC is no longer just targeting Ripple. They’re targeting everybody.”
He stressed that the regulatory environment is now a significant factor for businesses, with companies needing to navigate these legal battles and maintain confidence in their operations.
Rispoli speculated that the political environment might influence the outcome, particularly if there is a change in leadership at the SEC. He suggested that new regulations or a regime change could potentially lead to the SEC withdrawing the appeal altogether.
He mentioned the possibility of a shift in power following the 2024 presidential election, which could result in a new SEC chair who may take a different approach. It’s because former President Donald Trump has vowed to fire the ani-crypto SEC Chairman, Gary Gensler. Thus, Rispoli stated, “If you had a new regime…they could just completely withdraw [the appeal].”
Also Read: Ripple’s CTO Warns About Sophisticated Crypto Scams