The U.S. SEC may appeal the ruling in the Ripple case before October 7

ChainCatcher news, according to foxbusiness, the U.S. Securities and Exchange Commission must decide by October 7 whether to challenge the ruling made by U.S. District Judge Analisa Torres in July 2023, which found that only some sales of XRP cryptocurrency by Ripple violated securities laws. This ruling has drawn criticism from securities lawyers and other federal judges.

This ruling is considered a significant legal victory for the still-nascent cryptocurrency industry as it attempts to demonstrate that this emerging asset class does not violate U.S. securities laws as the SEC believes. It has also become a cornerstone of the legal strategies for other crypto entities, such as trading platforms Coinbase, Binance, and Kraken, which are currently being sued by the commission for allegedly selling unregistered securities.

Former SEC enforcement lawyer Arc Powers stated in an interview with Fox Business that the SEC is likely to appeal, as the agency and its cryptocurrency skeptic chair Gary Gensler are determined to exert jurisdiction over this $2 trillion industry.

Foxbusiness reports that disclosure is the cornerstone of U.S. securities law. When a company sells stock to raise funds and expand its business, it must file extensive paperwork to provide investors with the information they need to make informed decisions about purchasing the stock. Some legal experts argue that Judge Analisa Torres' ruling undermines this disclosure requirement.