US regulatory body decided to end discovery phase: Ripple vs SEC

A surprising turn occurred in the lawsuit fight between Ripple and the US Securities and Exchange Commission agency.

Ripple is a San Francisco-based firm, which provides Fintech-based services globally with the use of XRP ledger technology to facilitate fast payment. At present, Ripple is under the hurdle of a legal lawsuit against the US Securities and Exchange Commission (SEC), since December 2020. Through the filed lawsuit, the SEC agency claimed that the native token of Ripple’s XRP is security, which is unregistered with the agency, and also the Company sold more than $1.2 billion worth of XRP tokens publicly, which was illegal under the securities laws. 

Recently Jeremy Hogan, a famous attorney who analyzes the US Securities and Exchange Commission’s (SEC) lawsuit with Ripple, shared his point of view on this case and noted that the latest decision made by the SEC agency was not shocking for him but also was not expected. 

This means, now the SEC agency and Ripple company will not exchange information with each other regarding this case. This latest decision by the SEC is a type of small relief for Ripple, at least in terms of low time consumption in this case. 

Almost NOTHING would have surprised me more than this.

And yes, this is a very good thing. The only remaining areas of delay are the appeal re the Hinman emails and in general just scheduling.

SEC discovery is complete and that's a big step forward. https://t.co/Dh63kmG5uO

— Jeremy Hogan (@attorneyjeremy1) April 15, 2022

Attorney noted that there is one remaining factor, which can result in some significant delay to see the outcomes of this legal fight, is emails & documents related to the Hinman statements. 

Hogan also noted that the SEC agency is changing its stances in this case because of the past statements of Hinman and related documents regarding his statements. In the past, the SEC claimed that statements made by Hinman were totally based upon his point of view but now the agency is changing its tune. 

“If the SEC can’t even get it straight whether the speech was his personal opinion or perhaps the entire division’s guidance and they can’t even get it straight in a legal pleading with lots of forethought put into it, how the heck was Ripple supposed to know?”

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