Ripple Vs. SEC Legal Saga: Expert Outlines Timeline For Settlement And Ruling

Ashley Prosper, an XRP enthusiast deeply invested in the outcome of the legal clash between Ripple and the United States Securities and Exchange Commission (SEC), shared insights on the subject, outlining the possible timeline for a settlement and final ruling of the case.

Potential Settlement And Final Ruling Timeline In The Ripple Case

According to the expert, the SEC’s final response in the remedies phase in its case between Ripple is anticipated to be released tomorrow, on May 7. Following the response, US Judge Analisa Torres is expected to make her final decision on the matter, which Ashley Prosper believes will take place between July and August, or possibly September.

While the XRP enthusiast is confident that an appeal could be filed from both parties after this, she affirms it will not require as much time as people anticipate. Thus, she has urged the community to observe between now and any prospective decision from an appeal court, as a settlement could happen at any time within this timeframe.

The expert further drew attention to US attorney James K. Filan’s post highlighting several crucial dates in the legal dispute between Ripple and the regulatory watchdog. Filan pointed out two important dates in the case which are March 22, for which the SEC filed an opening brief, and May 6, for which the agency will file a reply brief.

It is noteworthy that during the opening brief in March, the SEC argued that the payment had raised its XRP sales since filing the complaint. An astonishing amount of over $729 million in unregistered institutional sales is covered in the Summary Judgment Order, according to the Commission. However, it is insignificant compared to the over-redacted dollar number in XRP sales that Ripple has made since the litigation began, including billions after the Summary Judgement Order, the majority of which appear to be institutional purchases.

Also, the SEC made it clear that Ripple is in a good position to pay a sizable civil penalty. As a result, the Commission requested that the court should forbid the company from offering institutional investors unregistered XRP.

The SEC’s Reply Brief To Take Place Today

Today, May 6, the case is expected to reach a crucial point, as the SEC is scheduled to file a reply brief in response to Ripple’s protests about the significant fines that the commission has suggested. 

The agency is seeking an $876.3 million civil penalty, an additional $876.3 million in disgorgement, and $198.15 million in prejudgment interest, totaling a proposed fine of $1.95 billion. However, the payment company countered the request, claiming the SEC did not demonstrate the need for a disgorgement and that any civil penalty should be limited to a maximum of $10 million.

Though experts believe the SEC will probably stick to its disgorgement position, there are speculations that the court might rule in favor of the firm this time.

Ripple
XRP trading at $0.5415 on the 1D chart | Source: XRPUSDT on Tradingview.com

Featured image from iStock, chart from Tradingview.com

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