Ripple’s Strong Position: Naming Terms in SEC Settlement Looms
- summy Morphe
- October 21, 2023
- News, Cryptonews
- Ripple, SEC, Settlement Looms
- 0 Comments
Ripple appears to hold a strong position for a potential SEC settlement, with the exposure of key documents weakening the SEC’s bargaining power.
Key Takeaways:
- Wall Street veteran Linda P. Jones believes Ripple can dictate terms in a settlement with the SEC.
- Speculation grows over a potential settlement as SEC drops charges against Ripple execs.
- The exposure of Hinman documents weakens the SEC’s bargaining power.
- Ripple’s recent victories have put them in control of the lawsuit’s outcome.
In a surprising turn of events, Wall Street veteran Linda P. Jones has asserted that Ripple now holds the upper hand in its ongoing legal battle against the Securities and Exchange Commission (SEC). Jones, a financial analyst with a notable track record, weighed in on the possibility of a settlement in the SEC v. Ripple lawsuit.
I agree, however I think Ripple has a royal flush, meaning they aren’t negotiating and can literally name their terms. Due to exposure of the Hinman emails, the SEC has zero bargaining power. Ripple can 100% name their terms in the “settlement.” https://t.co/56mPtob0AZ
— Linda P. Jones (@LindaPJones) October 20, 2023
The XRP Community
The XRP community had been buzzing with speculation about an impending settlement after the SEC dropped charges against Ripple executives Bradley Garlinghouse and Chris Larsen. Fred Rispoli, a pro-XRP lawyer, took to social media to analyze this development, suggesting that discussions were underway between the SEC and Ripple’s legal team regarding the terms of a potential settlement.
Linda P. Jones not only concurred with Rispoli’s analysis but went further to emphasize that Ripple is in a uniquely advantageous position. She likened Ripple’s position to holding a “royal flush” in a high-stakes poker game, suggesting that the company can dictate the terms of any settlement with the SEC.
Jones cited the exposure of documents related to William Hinman’s 2018 speech, in which he classified Bitcoin (BTC) and Ethereum (ETH) as non-securities. This, she argued, leaves the SEC with little bargaining power, making it possible for Ripple to have full control over the terms of a settlement.
Ripple onto SEC
Ripple has recently secured several victories in its legal battle against the SEC. Notably, the company compelled the SEC to release the Hinman documents, which had been a point of contention. Additionally, a summary judgment ruled that most XRP transactions are not investment contracts, further strengthening Ripple’s position. The SEC’s request for an interlocutory appeal was also denied, and the charges against Garlinghouse and Larsen were dropped.
With only two options remaining for the SEC – appealing the case to the Second Circuit or settling with Ripple – the cryptocurrency community eagerly awaits the regulator’s decision in the coming days or weeks. The next phase of the lawsuit will focus on determining the financial penalties Ripple must pay for its alleged violations of securities laws through the sale of XRP to institutional clients.
Concluding Thoughts
Ripple’s ability to potentially dictate terms in a settlement with the SEC marks a significant development in this high-profile case. The exposure of the Hinman documents has undoubtedly shifted the balance of power in Ripple’s favor. As the legal battle continues, the cryptocurrency industry will be closely watching for any updates on the SEC’s next steps and the ultimate outcome of this landmark case.
