Ripple, the payments company currently facing a lawsuit from the U.S. Securities and Exchange Commission (SEC) over allegations that XRP was an unregistered security, has reported a setback for the SEC in the case.
In its Q1 2023 XRP markets report, Ripple stated that Judge Analisa Torres had rendered an opinion resulting in the exclusion of some of the SEC experts’ testimonies from the court’s record. The court notably struck down the SEC’s expert witnesses’ testimony on the “reasonable expectations of an XRP purchaser” and their expert who attempted to ascertain the reason for the price fluctuations in XRP.
Additionally, the report emphasized that the court permitted the experts presented by Ripple, specifically those who elucidated the distinctions between Ripple’s contracts and those in the “Howey” case, the taxation and accounting aspects of XRP, and the currency experts regarding XRP. Stuart Alderoty, who serves as Ripple’s general counsel, expressed his conviction in their case following the court’s decision to reject the SEC’s expert testimonies while retaining those offered by Ripple.
The report indicated that Ripple furnished a progress report on the projected release of the summary judgment, noting that although the corporation anticipates the verdict to be issued in 2023, the precise timing is subject to the court’s discretion. As the Ripple vs. SEC legal battle continues, numerous individuals in the cryptocurrency industry eagerly await the final ruling’s implications on regulatory transparency in the United States.
