Ripple Labs and the U.S. Securities and Exchange Commission (SEC) agreed on March 19 to seal a proposal to address concerns about an upcoming remedies-related brief in their ongoing legal dispute.
The proposal was submitted to the U.S. District Court for the Southern District of New York, to restrict public access to confidential information in the brief.
Ripple & SEC to Conceal Financial Statements from XRP Community
Former Federal Prosecutor James K. Filan disclosed the details of the new development. He indicated the proposal was submitted before Judge Analisa Torres of the Southern District of New York, U.S. District Court.
#XRPCommunity #SECGov v. #Ripple #XRP The parties have filed a joint sealing proposal “to govern sealing issues relating to the upcoming remedies-related briefing to be filed in this case.” pic.twitter.com/gaF2DLlWDN
— James K. Filan (@FilanLaw) March 19, 2024
Approval of this proposal by Judge Torres would seal important details in upcoming remedies-related briefings from Ripple and the broader crypto community. Some of the details include Ripple’s financial statements and post-complaint XRP institutional sales.
In the proposal, the parties outlined a timeline for filing sealed and redacted versions of the brief and accompanying materials. A redacted version of a court file refers to removing certain information before publication or release.
The SEC is expected to file its opening remedies brief under seal on March 22. This will be followed by a meeting scheduled for March 25 to discuss necessary redactions. A redacted version of the brief will be filed publicly on March 26.
Translation: Although the SEC has to file its opening brief by March 22nd, it will be under seal and we won’t see a redacted version until March 26. It will happens twice this way.
— Sherrie (@CherryEmpress21) March 19, 2024
Similarly, Ripple would file its opposition under seal on April 22, with a meeting to discuss redactions on April 23. A redacted version of Ripple’s opposition brief will be filed publicly on April 24.
Meanwhile, the parties had proposed sealing replies to Ripple’s remedies opposition brief. This will come with a meeting on May 7 to determine necessary redactions and the public filing of redacted versions on May 8.
To simplify the sealing process, the SEC and Ripple had suggested filing an omnibus motion to seal all materials related to the remedies brief by May 13. This would consolidate the sealing issues into a single letter instead of multiple filings.
It means that both parties are agreeing upon the proposed timelines and sticking to it. You’re welcome
— Neon Pony (@chastityashley) March 19, 2024
As the lawsuit between the SEC and Ripple continues, the proposed sealing schedule balances transparency and protects confidential information.
The XRP lawsuit needs to end this year
— XRPcryptowolf (@XRPcryptowolf) March 19, 2024
However, crypto community predictions suggest that the lawsuit’s outcome could impact the regulatory landscape for digital assets in the U.S.
This is because issues such as classifying cryptocurrencies as securities, investor protection, and regulatory clarity are important in this case. As such, that could shape future regulatory cases and legislative efforts in the cryptocurrency market.
Overview of SEC vs. Ripple Case: Will The Outcome Affect XRP?
On December 22, 2020, the SEC filed a litigation against Ripple Labs over conducting a $1.3 billion unregistered securities offering. The litigation caused the price of Ripple’s token, XRP, to decline steeply.
The release of the Hinman documents provided insights into the SEC’s perspective on cryptocurrencies and its controversial classification of what “securities” are, however.
#XRPCommunity #SECGov v. #Ripple #XRP Here are the Hinman documents, by Exhibit number, in one place. https://t.co/6kUYZ1X2WKhttps://t.co/wZQmalfFkS
— James K. Filan (@FilanLaw) June 13, 2023
The release of the highly anticipated documents created relief and positive market sentiments for XRP price recovery.
In early 2023, Ripple’s Chief Legal Officer, Stuart Alderoty, downplayed the SEC’s lawsuit. He expressed confidence in the crypto firm’s ability to win the ongoing suit against the U.S. regulatory authority.
The SEC has lost 4 of its last 5 cases in the Supreme Court, thanks to the few that had the courage and resources to fight back against the SEC’s bullying and clinging to stretch legal positions that were not faithful to the law.
— Stuart Alderoty (@s_alderoty) February 20, 2023
Alderoty tagged the SEC’s recent track record as a sham, as the financial watchdog recorded four defeats out of five Supreme Court cases.
There are many events that crypto communities believe could help Ripple win its legal battle against the SEC.
These include the news of the SEC’s recent backlash from the District Court of Utah and the U.S. Republican lawmakers and its controversial announcement of spot Bitcoin exchange-traded funds (ETFs) approval.
At press time, the Ripple’s token trades at $0.57, having declined 16.17% in the last seven days.
CoinMarketCap Market Data on $XRP
Traders and asset holders believed the unfolding of the two-year-long legal battle would shoot the XRP price to a moonshot, enabling Ripple traders to earn more profits.
XRP Getting Close Buckle up! #xrp #crypto #Bitcoin pic.twitter.com/pUfp4EK9bh
— Coach, JV (@Coachjv_) March 20, 2024
While these are mere speculations, the common fact is that the asset is yet to experience a bullish run in the global crypto market.
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