As the United States Securities and Exchange Commission (SEC) seeks an interlocutory appeal in its case against Ripple Labs, lawyers working in the crypto space expressed confidence in Ripple’s case, with some underscoring that the XRP (XRP) token is not a security.
On Aug. 9, the SEC sent a letter to Judge Analisa Torres stating that it was moving to appeal the court decision, which it says warrants a fresh look by an appellate court. The SEC asked the judge to put the case on hold while the appeal is in progress.
The SEC’s move to appeal sparked questions among community members, with some thinking that the SEC’s move to appeal is a move to challenge the “non-security” status of XRP. However, crypto lawyers assured the community that this is not the case.
According to crypto lawyer Jeremy Hogan, the two issues are separate. Hogan explained that if the SEC wins the appeal on the sales, Ripple would not be able to facilitate sales using exchanges. Despite this, the lawyer believes that exchanges could keep XRP listed as long as the sales are not made by Ripple.
Cointelegraph reached out to crypto lawyer Oscar Franklin Tan, chief legal officer of the nonfungible token (NFT) platform Enjin, to break down some of the intricacies surrounding the SEC’s move.
According to Tan, appeals usually take place once the case is finished. However, the SEC’s appeal is interlocutory, meaning it wants to appeal even though the case is unfinished.
The SEC does not have the “right” to appeal just yet which is why they are asking permission to file an “interlocutory” appeal. Ripple will file its response with the Court next week. Stay tuned. https://t.co/zCeVZhYfxc
When asked how this appeal could potentially influence the course of the case, Tan told Cointelegraph that it’s all about the momentum. He explained:
“The SEC is asking to pause the XRP case while the interlocutory appeal goes on. If the appeal is allowed, whoever wins the appeal builds momentum in the main case.”
While Hogan believes that the appeal will not affect XRP’s security status, Tan believes that this is still what the SEC is after. He thinks the SEC is still looking to overturn the July decision by Torres that XRP is not a security in certain instances.
Tan said that, at the moment, the SEC is using the conclusion in the Terraform Labs case against the judge in the XRP case. The crypto lawyer said that the SEC argues that a higher court should “break the tie” among different conclusions. However, Tan believes the SEC should let the court process proceed normally. He explained:
“What the SEC should have done is to provide clearer guidance before taking anyone to court. Since Ripple and other parties decided to take the SEC to court to get this guidance, the SEC should let the court process proceed normally.”
Meanwhile, Ripple’s chief legal officer Stuart Alderoty told the community to “stay tuned,” noting that Ripple will file its response with the court next week.
Canterbury MP Rosie Duffield has resigned from the Labour Party.
The 53-year-old MP is the first to jump ship since the general election and in her resignation letter criticised the prime minister for accepting thousands of pounds worth of gifts.
She told Sir Keir Starmer the reason for leaving now is “the programme of policies you seem determined to stick to”, despite their unpopularity with the electorate and MPs.
In her letter she accused the prime minister and his top team of “sleaze, nepotism and apparent avarice” which are “off the scale”.
“I’m so ashamed of what you and your inner circle have done to tarnish and humiliate our once proud party,” she said.
Since December 2019, the prime minister received £107,145 in gifts, benefits, and hospitality – a specific category in parliament’s register of MPs’ interests.
More from Politics
Ms Duffield, who has previously clashed with the prime minister on gender issues, attacked the government for pursuing “cruel and unnecessary” policies as she resigned the Labour whip.
She criticised the decision to keep the two-child benefit cap and means-test the winter fuel payment, and accused the prime minister of “hypocrisy” over his acceptance of free gifts from donors.
“Since the change of government in July, the revelations of hypocrisy have been staggering and increasingly outrageous,” she said.
“I cannot put into words how angry I and my colleagues are at your total lack of understanding about how you have made us all appear.”
Ms Duffield also mentioned the recent “treatment of Diane Abbott”, who said she thought she had been barred from standing by Labour ahead of the general election, before Sir Keir said she would be allowed to defend her Hackney North and Stoke Newington seat for the party.
Her relationship with the Labour leadership has long been strained and her decision to quit the party comes after seven other Labour MPs were suspended for rebelling by voting for a motion calling for the two-child benefit cap to be abolished.
“Someone with far-above-average wealth choosing to keep the Conservatives’ two-child limit to benefit payments which entrenches children in poverty, while inexplicably accepting expensive personal gifts of designer suits and glasses costing more than most of those people can grasp – this is entirely undeserving of holding the title of Labour prime minister,” she said.
Ms Duffield said she will continue to represent her constituents as an independent MP, “guided by my core Labour values”.