In a recent development regarding the ongoing legal battle between Ripple Labs and the U.S. Securities and Exchange Commission (SEC), a federal judge has ordered the SEC to produce documents related to its controversial speech about cryptocurrencies.
This decision follows a request made by Ripple Labs to obtain evidence related to former SEC official William Hinman’s 2018 speech, in which he stated that Bitcoin and Ethereum were not securities. The judge’s order could potentially have significant implications for the SEC’s case against Ripple Labs, which alleges that the company’s XRP token is an unregistered security.
Triumph for Ripple Labs: Court Rules in Their Favor!
On May 16, a judge refused the SEC’s petition to seal documents related to a controversial cryptocurrency speech. The judgment awarded the embattled crypto firm Ripple a legal victory.
The SEC and Ripple have been locked in a legal battle for years. In 2020, the commission charged Ripple with illegally trading its XRP token without registering it as a security.
A portion of the legal battle has centered on documents related to former Division of Corporation Finance Director Bill Hinman’s 2018 speech on cryptocurrency. The speech included remarks on why he did not believe Bitcoin and Ether to be securities.
The SEC has attempted to keep documents and communications connected to the Hinman speech private. The SEC claims that Hinman’s remarks reflected his personal opinions rather than agency policy. The US SEC also stated that the records were part of Hinman’s commission duties. And the documents are protected by legislation that protects internal deliberations.
To that end, in a court filing, Judge Analisa Torres stated, “They are judicial documents subject to a strong likelihood of public access.” The Southern District of New York of the United States District Court brought the case.
Ripple Surges with Joy Over Judge’s Favorable Verdict!
Ripple CEO Brad Garlinghouse hailed the ruling as a victory for transparency. Garlinghouse stated on Twitter, “Yet another victory for transparency! Unredacted Hinman emails will be made public soon – stay tuned as the lawyers work out the details.”
Ripple has viewed the speech as critical evidence in its current legal battle with the SEC. As a result of this announcement, the Ripple Labs native token, XRP, witnessed a massive surge in trading volume and price.
As per CoinMarketCap data, the Ripple (XRP) price increased by 7.30% on the day, with a 40% increase in 24-hour trading volume. This indicates a resurgence of investor interest in the XRP token. The native token has also broken through major resistance levels. The token climbed past the ₹35 and ₹36 resistance levels to reach an intraday high of ₹37.97.
The recent ruling brings much-needed transparency to the XRP lawsuit and strengthens Ripple’s position. As it defends against allegations of XRP being an unregistered security. Ripple CEO Brad Garlinghouse also celebrated the favorable verdict as a triumph for transparency.
Apart from that, the market has responded positively to this development. As a result, the XRP token also experienced a surge in both trading volume and price. This recent turn of events is poised to have a significant impact on the outcome of the Ripple-SEC lawsuit. That marks a crucial step forward for the future of XRP and the cryptocurrency industry as a whole.
To know more about the SEC Vs Ripple Labs case, go check out SunCrypto Academy.
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