In a landmark move, the Securities and Exchange Commission (SEC)’s request to appeal a ruling favoring Ripple has been turned down by Judge Analisa Torres. The ruling, which regarded the classification of XRP’s secondary sales, came into effect October 3, 2023. The adjudication marks another win for Ripple in its ongoing legal contest against the SEC.
The court has noted strict deadlines in its pretrial scheduling order. By December 4, 2023, parties are expected to hand in necessary pretrial filings such as the joint pretrial order, charging motions, decision form, and voir dire questions. Similarly, a copy of each document intended for court admission should be submitted by the same date. A final pretrial conference is then slated for April 16, 2024.
The SEC had sought permission for an interlocutory appeal—a type of appeal filed during an ongoing case. However, the court dismissed this request, dauntingly suggesting that ongoing proceedings are required before an appeal can be entertained.
The court justified this denial by noting that the issues are not purely legal matters but are fact-specific applications of the Howey test, therefore, not qualifying for immediate appeal. Furthermore, due to the unique circumstances surrounding the case, its outcome bears minimal precedential value. Meaning, the ruling may not apply as a general statement about cryptocurrency.
Rounding up, the courts final verdict suggests the SEC should patiently wait its turn to appeal. Key to note is that this decision is exclusive to the Ripple case, meaning it may not set a precedent. This development indicates a crucial turning point leading towards further exploration of the cryptocurrency landscape.