However, Ripple’s Chief Legal Officer, Stuart Alderoty, responded to the SEC’s appeal, emphasizing that the ruling affirming XRP is not a security remains unchallenged.
In a recent development in the ongoing legal battle between Ripple and the US Securities and Exchange Commission (SEC), the SEC has appealed specific elements of Judge Analisa Torres’s ruling in its case against Ripple. On October 17, the SEC submitted a Civil Appeal Pre-argument statement (Form C) to the US Court of Appeals for the Second Circuit, seeking to contest aspects of the decision other than the ruling regarding XRP sales to retail investors through exchanges.
Instead, the SEC plans to contest Ripple’s programmatic sales of XRP on digital trading platforms, its distribution of XRP to employees, and other parties. The SEC also intends to pursue Ripple executives Brad Garlinghouse and Chris Larsen, accusing them of aiding and abetting XRP sales on digital platforms and challenging their offers and sales of XRP.
The SEC has requested that the appellate court review these “de novo,” meaning the court would address legal questions without deferring to the trial court’s judgment. The SEC’s decision to appeal has drawn significant community attention, with many speculating about the timing of the filing.
