A Crypto-Skeptical Commissioner to the US Securities and Exchange Commission exploded his agency with its settlement that could finally end the legal saga of the ripple.
The SEC and Ripple filed a joint letter to a New York court requesting for an August 2024 injunction against Ripple to melt and $ 75 million $ 125 million in civil penalties held in Escrow to return to Crypto company, According to In a statement of May 8 from Sec.
SEC Commissioner Caroline Crenshaw exploded The pending deal with a statement of May 8, saying it will ruin the regulators' ability to keep crypto companies line and to undermine the court's decision.
“This negotiation, next to the programmatic disassembly of the SEC crypto implementation program, produces a massive public investment diservice and overthrows the court's role in interpreting our security laws,” he said.
“Meanwhile, the negotiation joined a line of expulsions that we had eliminated the credentials of our court lawyers who were asked to take legal positions now contrary to those who took months ago.”
Under the Trump administration, the SEC slowly walks back to its hardline bearing toward crypto companies predicted under the reign of former SEC Chair Gary Gensler, who has removed a growing number of implementation actions against crypto companies.
At the same time, Crenshaw said that if Judge Torres would accept the regulating, it would erase “investor protections that we have won” and leave a “vacuum regulation,” until the Crypto Task Force releases a regulation framework.
“Removal is not in the best interests of investors and markets that our agency is duty to serve and protect. It creates more questions than answers.”
In August of last year, a judge ordered Ripple to pay $ 125 million in sanctions after the company's XRP (XRP) token (XRP) was assumed to be covered by security laws when sold to institutional investors.
What's next for the ripple case? It's not done yet
While the SEC and Ripple have agreed to a settlement, it is still not done, according to ex-federal prosecutor James Filan, as there are many steps before long legal legends can end.
For a start, Judge Torres will have to give a imprison Says In a review on May 8 in X.
If Torres grants an implicit decision, the SEC and Ripple will ask the Second Circuit Court of Appeals for a limited remand back to Judge Torres, who, if given, will result in another motion filed for the agreed rehabilitation, according to Filan.
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“After the injunction is dissolved and the funds are distributed, the SEC and Ripple will ask the Court of Appeals to remove the SEC appeal and Ripple's cross-appeal. Then after this,” he said.
The SEC first launched legal action against the Ripple Labs in December 2020, accusing the firm illegally selling its token as an unregistered security.
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