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Ripple CTO Schwartz Points Up Why SEC Cannot File Immediate Appeal Against XRP Victory

In a recent development surrounding the SEC case, David Schwartz, the Chief Technology Officer (CTO) at Ripple, addressed the ongoing debate regarding the Securities and Exchange Commission’s (SEC) next course of action. Notably, Schwartz asserted that the SEC cannot file an immediate appeal due to unresolved issues between the parties involved.

SEC’s Potential Options Examined

Earlier, legal expert James “MetaLawMan” Murphy put forward four potential options that the SEC might consider for its next move. Firstly, Murphy speculated that the SEC could request an interlocutory appeal. Secondly, the regulatory agency may choose to proceed with the trial focusing on the aiding and abetting claim against Ripple executives Brad Garlinghouse and Chris Larsen.

Read Also: Pro-XRP Lawyer Provides Insights on SEC’s Potential Appeal Against Ripple Victory

Thirdly, Murphy suggested that the SEC could drop its claim against Garlinghouse and Larsen to file an immediate appeal, challenging Judge Torres’ ruling. Notably, this approach would not require seeking permission from Judge Torres and the Second Circuit. Lastly, Murphy opined that the SEC could settle with Ripple, although he expressed skepticism about the likelihood of that happening.

Ripple CTO Counters Immediate Appeal Possibility

Schwartz’s comments came in response to MetaLawMan’s analysis, which sparked reactions from XRP enthusiasts. Schwartz took to Twitter today to assert that the Securities and Exchange Commission cannot file an immediate appeal by dropping its case against Ripple executives.

According to Schwartz, Judge Torres’s decision failed to fully resolve the dispute between the parties, particularly concerning the remedies aspect. He emphasized that the parties have yet to argue about remedies following the court’s ruling.

Given Schwartz’s statement ruling out the possibility of an immediate appeal from the SEC, the regulatory agency may consider exploring any of the three options proposed by MetaLawMan.

Read Also: Top Legal Analyst Outlines How XRP Case Would Influence Binance and Coinbase Lawsuits

Ripple-SEC Lawsuit Continues

While Judge Torres recently ruled on significant aspects of the lawsuit, it is important to note that the case remains far from over in the Southern District of New York. The judge determined that Ripple’s programmatic XRP sales on digital exchanges, totaling over $720 million, do not qualify as securities. However, she deemed Ripple’s direct XRP sales to institutional clients, amounting to $728.9 million, as securities.

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It is worth noting that the judge has not yet pronounced a verdict on the aiding and abetting charges against Ripple’s executives. Furthermore, the court has yet to decide the amount of the fine Ripple will have to pay for violating securities law through its XRP sales to institutional investors.

Based on the ruling, these unresolved issues will proceed to trial. The court is expected to announce the trial date in due course.


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Adedoyin Aka
Adedoyin Aka
Adedoyin is a graduate of Law and a Crypto & Blockchain expert who strongly believes that Blockchain is the future. At TimesTabloid, she focuses on crypto and blockchain educational content.
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