Expert Anticipates Ripple and SEC Lawsuit to Reach Settlement by Year-End
The battle between Ripple and the SEC is intensifying as Ripple takes a stronger stance against the SEC’s actions. Ripple has sent detailed letters challenging expert testimony and expressing concerns about timing and disclosure. One of the key objections raised by Ripple is the classification of the “Fox Declaration” as standard evidence, arguing that it should be considered as expert testimony with significant implications for the legal process.
The outcome of this case could have far-reaching consequences for Ripple and the entire cryptocurrency market. Experts predict that a settlement of around $100 million may be reached, which could impact the value of XRP and have ripple effects throughout the industry. In light of these developments, an analyst has analyzed the timeline and potential final ruling.
Ashley Prosper, the analyst, believes that a settlement is possible in the near future. He points to a significant milestone in the lawsuit, with the XRP community eagerly awaiting the SEC’s reply related to remedies. According to Prosper, the SEC’s final response in this phase is expected to come soon, followed by a waiting period until Judge Torres delivers her final ruling, which could occur between July and September. While the outcome remains uncertain, Ashley speculates that appeals from either side may not prolong the process as much as anticipated. He suggests that a settlement could occur at any point before a ruling from an appellate court.
The Ripple vs. SEC legal battle is reaching a critical stage. Judge Torres is expected to make a decision by mid-to-late 2024. The SEC will respond by May 6, 2024, and Judge Torres may issue her final ruling between July and September of the same year. However, if either party decides to appeal, the process could extend until 2026. Despite attempts to reach a settlement, Ripple and the SEC have not yet reached an agreement, and the SEC has not accepted Ripple’s request regarding the classification of XRP.
Market observers believe that the SEC will continue to pursue disgorgement and seek a court order to prevent Ripple from selling XRP to institutional investors. The recent challenge to Ripple’s request to exclude new expert evidence indicates the SEC’s determination to strengthen its case.
The upcoming submissions will likely be the final ones before Judge Analisa Torres determines the penalties for Ripple’s sales of XRP to institutional buyers. If Ripple successfully challenges the validity of Fox’s declaration, it could limit the SEC’s options in advocating for certain penalties.
The lawsuit between Ripple and the SEC began in late 2020 when the SEC accused Ripple of violating securities laws through its XRP sales. In July, Ripple achieved a partial victory when a judge ruled that XRP sales on exchanges do not qualify as securities transactions. However, the dispute over sales to institutional buyers is still ongoing.