The US District Court of New York has denied the United States Securities and Exchange Commission’s (SEC) request to appeal the ruling in the Ripple case, which determined XRP is not a security for retail sales.
“But here, the SEC has failed to meet its burden to show that such an appeal would “materially advance the ultimate termination of the litigation,” the court filing stated.
SEC’s Appeal for XRP Ruling Lacks Convincing Justification
In a court filing dated October 3, Judge Analisa Torres highlights that the SEC has not offered a compelling justification for how an appeal could alter the court’s decision.
“The SEC’s motion for certification of interlocutory appeal is DENIED, and the SEC’s request for a stay is DENIED as moot. The Clerk of Court is directed to terminate the motion at ECF No. 892.”
Torres further outlined that there wasn’t enough evidence to demonstrate that programmatic buyers of XRP were influenced to purchase XRP by the “entrepreneurial or managerial efforts of others.”
The filing also contended that the SEC did not substantiate its claim that an “average” investor could sift through numerous statements and documents spanning eight years to determine whether to invest in XRP, relying on Ripple’s marketing efforts and public statements regarding its future price potential.
This is a developing story and more information will be added as it becomes available.
