June 15, 2021 | AtoZ Markets – The court granted the request of the US Securities and Exchange Commission (SEC) for a 60-day grace period in the case against Ripple. Lawyer Jeremy Hogan announced this on his Twitter page. Thus, the court postponed the consideration of the case until October 15, 2021.
How long the SEC lawsuit against Ripple may take
According to Hogan, the court's decision did not surprise him. However, now the verdict in the case should not be expected earlier than December 2021-January 2022.
As a reminder, Ripple called that the postponement "existential threat" for the fintech company. According to Ripple's lawyers, the regulator did not provide any compelling reason to postpone the trial.
The judge decided to accommodate the SEC after the regulator threatened that the wrong move "would harm the SEC far beyond the scope of this case."
However, Judge Sarah Netburn also met Ripple halfway and allowed Brad Garlinghouse and Chris Larsen to request documents related to their accounts and XRP transactions from 16 foreign crypto exchanges. According to them, XRP was sold "mainly" on crypto exchanges outside the United States, therefore, American laws were not violated.
Recall that the exchange regulator filed a lawsuit against Ripple at the end of 2020. The commission claims XRP falls within the definition of securities, but the California-based startup disagrees. Ripple emphasizes that XRP is a cryptocurrency, just like bitcoin or ether. The XRP token itself did little to react to the news. At the time of writing, the price of the XRP/USD pair is changing hands at the $0.89 mark.
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