Ripple lawyer says SEC appeal won’t setback Ripple.

Ripple lawyer says SEC appeal won't setback Ripple.

The Ripple Case: Understanding the Significance of Judge Torres’ Decision

In recent news, the US Securities and Exchange Commission (SEC) has indicated its intent to appeal the court’s decision in its case against Ripple. This development has caused a stir in the blockchain industry, with experts and enthusiasts closely following the legal proceedings. While the appeal may seem like bad news for Ripple at first glance, it is important to delve into the details and understand the implications of this decision.

The SEC’s Appeal and Ripple’s Fate

The SEC’s decision to appeal comes after Judge Analisa Torres ruled against the agency in the case against Terraform Labs and its former CEO Do Kwon. The SEC is challenging the judge’s ruling and exploring the possibility of overturning it.

Crypto Law founder John Deaton, a prominent advocate for XRP, believes that the appeal does not necessarily spell trouble for Ripple. According to Deaton, even if the appeal is successful, it will take at least two years for a decision to be issued by the 2nd Circuit. In the meantime, Judge Torres’ decision will stand as the law in the 2nd Circuit.

Deaton argues that even if the 2nd Circuit were to find fault with Judge Torres’ application of the Howey factor, it does not automatically guarantee a victory for the SEC regarding programmatic sales. He emphasizes that it is possible for Judge Torres to rule in the same way even if the case is appealed.

The Significance of Judge Torres’ Decision

Judge Torres’ ruling holds considerable weight and influence, particularly within the 2nd Circuit. While her decision is not binding in other districts, it sets a precedent that fellow judges within the 2nd Circuit will be hesitant to diverge from. This is especially relevant considering Judge Torres’ citation of Judge Castel from the Telegram case.

In a recent tweet, Deaton clarified his stance, stating that Judge Torres’ decision is not necessarily binding within the Southern District of New York (SDNY). However, it is highly likely that a judge within the 2nd Circuit will find it challenging to disagree with Judge Torres, especially given her meticulous analysis and reference to relevant cases. Early signs from the Coinbase transcript also indicate a similar sentiment among judges in the 2nd Circuit.

XRP’s Price Impact and Market Reaction

Following the news of the SEC’s intent to appeal, the price of XRP experienced a decline. However, it is essential to note that this drop was not unique to XRP, as other cryptocurrencies also experienced widespread declines in the market. The crypto market tends to be highly volatile and reactive to any significant news or developments, and this event was no exception.


The ongoing Ripple case has become a focal point for many blockchain enthusiasts and industry experts. The SEC’s recent decision to appeal Judge Torres’ ruling has sparked speculation about Ripple’s future. However, it is crucial to assess the situation with a nuanced understanding of the legal process and the significance of Judge Torres’ decision.

While the appeal introduces uncertainty into the timeline and outcome of the case, it is clear that Judge Torres’ ruling holds significant weight within the 2nd Circuit. The subsequent judicial support she has received suggests that an appeal may not necessarily result in a setback for Ripple. As the legal battle unfolds, the blockchain industry eagerly awaits further developments that will shape the future of Ripple and the regulatory landscape surrounding cryptocurrencies.

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