The lawsuit between Ripple (XRP) and the SEC has been pulsating in the crypto space for some time. The SEC, known as the quintessential American regulator, seemed in a strong position from the start of the trial. However, a new data item disrupts its run. A speech attributed to a former SEC official is controversial and has drawn strong attention from the judge in charge of the case. The magnitudes that this could take are still unknown, but it seems obvious that consequences for the rest of the process are inevitable.
- A dubious conference call
- A thorny step backwards for the SEC?
- Ripple (XRP) is accumulating partnerships despite its lawsuit
A dubious conference call
It all starts with a conference call, which could be described as delicate. It took place four years ago between former SEC official William Hinman and his legal team. According to Judge Netburn on the case, the recordings resulting from that call may demonstrate the SEC’s intentions and therefore need to be the subject of clarification. The goal is to find out what advice former manager Hinman received, and more importantly, for what purpose.
The SEC’s defense is that this advice is merely Lambda legal advice without any particular scope. Also according to the SEC, the only topic discussed was the application of laws related to the security of crypto assets, this “in a very legal speech”. A statement that Judge Netburn clearly failed to convince. The latter interrupted the SEC argument in the middle of the process. He asked the SEC to specifically confirm what he had just heard, namely that former director Hinman’s purpose was not merely to seek legal advice, but rather to ensure its apparent consistency. The SEC then replied in the affirmative.
A thorny step backwards for the SEC?
The SEC enjoys a reputation and authority unparalleled in the United States and generally occupies a prominent position in its various court proceedings. This has been the case in Ripple (XRP)’s lawsuit, at least since it opened. Recently, this phrase has been echoing all over the press.
When excerpts from the conference call between the SEC and its former director, William Hinman, were released, the course of the process was affected and its direction changed. Now the lights aren’t just on Ripple anymore. The slightest actions, exchanges and even intentions of the famous SEC are peeled and questioned. According to experts from the legal world as well as the crypto world, this is a serious step backwards for the SEC. The objectivity and transparency of his intentions are carefully examined by the judge. However, this clearly returns the advantage to Ripple.
By then, the SEC had managed to ban holders from participating sign in court, no doubt fearing the impact it would have. However, this reversal of the situation could prompt the judge to reconsider the issue and the holders of the sign could be brought to justice. This would only accentuate the demise of the SEC and shake the future of this affair.
Ripple (XRP) is accumulating partnerships despite its lawsuit
A lawsuit does not usually equate to good publicity. Legal issues tend to drive employees, investors and partnerships away. Surprisingly, Ripple seems to be an exception to the rule. Since opening its lawsuit against the SEC, Ripple has not suffered colossal losses in terms of partnerships, quite the opposite. Officially, Bexs Pay is the company that has taken over the management of more than 54 million Nubank customers regarding cross-border payments. However, Bexs Pay has integrated RippleNet since 2017.
This represents a very large partnership for Ripple (XRP), whose business continues to thrive despite the ongoing legal battle. This is just the beginning. Several other remittance-focused companies have already approached Ripple to set up partnerships. Besides this aspect, it is also interesting to note that Ripple intends to go public once the process is complete. An accident ? Hard to believe.
Receive a roundup of what’s new in the cryptocurrency world by subscribing to our new daily and weekly newsletter service so you don’t miss any of the essential Cointribune!
Alternatively write SEO
Founded in 2021 by Marc-Antoine CAEN POLETTI, Alt Write SEO is a content writing agency specializing in cryptocurrency, blockchain and NFTs. It finds its roots in 2016 with the French Cryptocurrency Club, of which Marc-Antoine is the current President. Our mission is to support French speaking crypto companies to make France the first crypto nation in the world.