XRP News Today: Judge Denies Ripple SEC Motion to Amend XRP Case Ruling

Judge Analisa Torres has denied a joint motion by Ripple and the U.S. Securities and Exchange Commission (SEC) to amend the final judgment in their XRP case. The court's decision has sparked speculation and fresh urgency across the crypto landscape. Attorney Fred Rispoli offered two potential reasons for the judge's ruling. Firstly, Rispoli suggested that Judge Torres may have been frustrated by the lengthy and bitter litigation that spanned 4.5 years. Secondly, he proposed that political bias could have influenced the judge's decision, noting that some federal judges may act based on political motivations rather than objectivity.

Despite the court's refusal to alter its ruling, Rispoli believes the legal fight is nearing an informal conclusion. He speculated that the SEC might formally drop their appeal, leaving Ripple's appellate brief unopposed and potentially boosting Ripple's chances of winning. However, he estimated the likelihood of this scenario at 0%. Instead, Rispoli predicted that both parties would drop their appeals, settle at $50 million, and move forward with the injunction in place.

Judge Torres stated in her order that neither party had demonstrated the “extraordinary circumstances” required to overturn a final judgment. She emphasized that only an appellate court—not a post-judgment agreement—can lawfully remove a penalty or injunction. Ripple had argued that its business model had changed, but the judge found no legal basis to void the earlier decision. The injunction, according to Rispoli, does not affect XRP on secondary markets or impact the potential approval of XRP exchange-traded funds (ETFs).

In a significant development, Judge Torres has denied both parties' motion for an indicative ruling, upholding the original penalty and injunction. The court's decision was based on two primary reasons. Firstly, Judge Torres emphasized that Ripple's previous conduct indicated a propensity to test legal boundaries, justifying the original penalty and injunction. The judge pointed out that the SEC had previously stressed the need for harsher penalties against Ripple due to its "reckless" and "egregious" violations. Secondly, the judge noted that both sides cannot escape the permanent injunction, as the ruling is a binding legal precedent that cannot be easily dissolved or modified.

The denial of the motion for an indicative ruling means that Ripple will continue to face the original penalty and injunction, which requires the company to comply with securities laws and regulations. This ruling is a significant blow to Ripple, as it limits the company's ability to operate freely in the cryptocurrency market. The decision also underscores the importance of compliance with securities laws in the cryptocurrency industry, as regulators continue to crack down on companies that fail to adhere to legal standards.

The ruling has sparked a range of reactions from industry experts and legal analysts. Some have praised the judge's decision as a necessary step to enforce securities laws in the cryptocurrency industry, while others have criticized the ruling as overly harsh and punitive. Regardless of the reactions, the decision is a clear indication that regulators are taking a tough stance on cryptocurrency companies that fail to comply with legal standards.

Ripple has not yet decided on its next legal move, but the company is likely to face an uphill battle in its efforts to challenge the ruling. The denial of the motion for an indicative ruling is a significant setback for Ripple, but it is not the end of the road for the company. Ripple may choose to appeal the decision or seek alternative legal strategies to challenge the ruling. However, the company will need to navigate a complex legal landscape and overcome significant obstacles to achieve a favorable outcome.