A former federal prosecutor turned chief govt of a crypto-focused enterprise capital fund says she can be “shocked” if the USA securities regulator lodges an instantaneous enchantment in opposition to the Ripple case ruling, because it at the moment advantages from lack of “authorized readability.”
On July 13, Choose Torres granted a partial abstract judgment in favor of Ripple Labs relating to XRP’s standing as a safety. On the time, a couple of commentators warned that an enchantment from the SEC can be a chance.
Nonetheless, in a July 15 Twitter thread, Haun Ventures CEO Katie Haun explained that the securities regulator will doubtless keep quiet because it advantages from the “present confusion” and that dropping an enchantment may jeopardize its future enforcement actions.
Some non-legal recommendation musings on the Ripple determination, together with two primary takeaways:
1/ The Courtroom drew an affordable line and general it is a good final result for the trade. For different fits w/ the SEC, we imagine the Supreme Courtroom’s “main questions doctrine” will play a bigger…
— Kathryn Haun (@katie_haun) July 15, 2023
“Something is feasible, however an instantaneous enchantment appears unlikely each as a result of the company must ask the court docket to separate this determination from the portion going to trial and since I’m skeptical the SEC really desires authorized readability,” stated Haun.
“The Fee advantages from the present confusion and dropping these points on enchantment would jeopardize its whole enforcement agenda. So I’d be shocked if the SEC tried to enchantment now.”
Haun is however the newest commentator to share the view.
On July 15, Ripple Labs CEO Brad Garlinghouse additionally believes it could “take years” earlier than the SEC lodges an enchantment. He added that an enchantment by the SEC would solely reinforce Choose Torres’ determination that XRP shouldn’t be a safety.
In a video posted on YouTube on the identical day, U.S. lawyer and Ripple commentator Jeremy Hogan stated he believes the SEC will launch an enchantment after the trial between SEC and Ripple ends, which is scheduled for early 2024.
The SEC is at the moment suing crypto exchanges Binance and Coinbase over alleged violations of securities legal guidelines. Some imagine the current Ripple case ruling, whereas not a binding precedent, may have an effect on the result of the instances.
Associated: Ripple determination is ‘troublesome on a number of fronts’, says former SEC official
In the meantime, many crypto commentators and lawmakers have known as for Congress to take motion and provides authorized readability to crypto in gentle of the current ruling.
Brian Quintenz, former commissioner of the Commodity Futures Buying and selling Fee — now head of coverage for enterprise capital fund a16z crypto — stated that the current Ripple court docket ruling “solely leads to extra uncertainty for entrepreneurs and builders.”
U.S. Senator Cynthia Lummis stated the ruling underscores the pressing want for Congress to ascertain a transparent and complete regulatory framework for the cryptocurrency trade.
Journal: Crypto regulation: Does SEC Chair Gary Gensler have the ultimate say?