US SEC Seeks Re-Appeal in Ripple Case Over XRP Sales Process Concerns.
US SEC seeks to revisit court's ruling on Ripple's XRP, questioning if it's a security. Legal debates heat up.
The US Securities and Exchange Commission (SEC) is asking the court to let them appeal a decision related to Ripple Labs and its XRP token. The decision had previously stated that XRP wasn't a security when sold to everyday buyers.
The SEC feels the ruling, which used the Howey test, has some complex legal issues that need another look. On Sept. 8, they requested that the U.S. District Court in New York allow their appeal and pause other related legal actions.
Back in July, Judge Analisa Torres decided that XRP is usually not a security, especially when sold on exchanges.
In their recent request, the SEC says there are big “legal questions” related to how XRP is sold which makes their appeal important.
Ripple’s top legal person, Stuart Alderoty, criticized the SEC's move on Twitter. He found it strange because the SEC often said their rules were clear.
Coinbase's main legal expert, Paul Grewal, also wondered how crypto companies can understand rules when there are unclear legal points to discuss.
After the Judge’s decision in August, the SEC wanted to appeal and pause everything. On Sept. 1, Ripple Labs opposed this, saying the SEC didn't have strong reasons to ask for an appeal.
