Schwartz Responded: What’s the Latest Situation in the Ripple Case?

Ripple Labs chief technology officer David Schwartz clarified the appeal of the United States Securities and Exchange Commission in his latest update on X (formerly Twitter). We have already processed the details about the application, which we announced at the last minute. Now, by September 1, Ripple will have to submit their objections. According to Schwartz, the SEC is filing an appeal at this particular point, based on the interpretation that the legal case has not yet been concluded. This understanding gives the parties the privilege to appeal after the conclusion of the case. This procedural strategy aims to increase the efficiency of the legal process and avoid the continued interruption of the main case due to multiple appeals of minor decisions.

After Judge Analisa Torres ruled on July 13 that XRP was not a security when sold on digital asset exchanges, the SEC filed an appeal. Although it is due to the decision in favor of Ripple, this move of the SEC focuses on an unforeseen development in the prime process. Schwartz stressed that consolidating appeals is vital to improving things, while separate appeals will further prolong the legal process.

Ripple believes that even if the SEC can appeal, the main litigation should continue while the appeal process takes place. This fits with the idea of allowing the trial to continue and looking carefully at appeals when everything else is done. Schwartz provided further information due to rumors in the Bitcoin community that the SEC may want to appeal Torres’ decision to higher courts. The outcome of the legal dispute between Ripple Labs and the SEC may be affected by the court’s choice whether to accept the appeal. For now, the SEC, which has granted permission to file an appeal, will not be able to appeal unless it can present credible arguments. Under normal circumstances, it is expected that the jury trials will be completed at the beginning of the second quarter of next year and the case will now end. If the SEC can get the support of the Judge on the appeal, we may have to wait until 2025 for the case to be settled.