The Binance case faced a new development as the SEC used the ruling from the Ripple class action lawsuit as supplemental authority. This move comes after a California district court judge’s legal opinion differed from a judge in the Southern District of New York who ruled that XRP is not a security. The SEC has filed the Ripple lawsuit as supplementary authority in the ongoing case against Binance, Binance.US, and former CEO Changpeng Zhao. The SEC claims that the arguments and judge’s ruling in the Ripple complaint are relevant to the Binance case. Discovery conflicts in the Binance litigation have mostly been settled, and the lawsuit is now awaiting a court decision on a joint motion to dismiss. Despite winning its case, Ripple CEO Brad Garlinghouse has faced criticism for deceptive claims about XRP sales. Garlinghouse remains confident and ready to provide more details during the trial, emphasizing that the lone complainant might not have heard the disputed remark before trading and did not directly purchase XRP from Ripple.
Judge Hamilton’s decision to overturn the SDNY court’s conclusion on XRP programmatic sales being non-securities has sparked debate within the XRP community. The court highlighted in a dispassionate ruling on the third element of the Howey test that programmatic buyers may have expected gains from Ripple’s efforts. The SEC has also taken notice of Garlinghouse’s alleged deceptive remarks about XRP. Ripple’s main concern lies in the SEC potentially using this California case in its Second Circuit appeal against Judge Torres’ summary ruling on XRP, which revolves around whether XRP sales are considered securities.
In the midst of market uncertainty and legal ambiguities surrounding Ripple, the price of XRP is currently at $0.4853, showing a decrease of 0.87% in the last 24 hours. However, XRP has seen a 1.22% increase over the past seven days, indicating a bullish trend. These price fluctuations occur alongside discussions raised by Stuart Alderoty of Ripple regarding the SEC’s recent decisions, particularly the unresolved status of Ether as a security.
