SEC seeks permission to appeal ruling on XRP token as not a security
The Securities and Exchange Commission (SEC) has requested permission to appeal a judge’s ruling that Ripple Labs’ XRP token is not a security when sold to the general public. This decision has sparked concerns within the cryptocurrency community as it could potentially affect other cases involving cryptocurrencies. The SEC argued that the issue is of utmost importance and needs immediate attention, given that the outcome could have significant implications for pending cases involving crypto assets.
Concerns arise within the cryptocurrency community over potential ramifications
The request was made to US District Judge Analisa Torres in Manhattan, who originally ruled that XRP is not a security in a preliminary motion. The SEC acknowledges the need for permission to appeal since it was not a final judgment. However, the regulator highlighted the urgency of the matter, stating that the resolution to these questions could have broad repercussions, with potential ramifications for the overall crypto landscape.
Impact on regulatory status of cryptocurrencies in the US
This development comes amidst an ongoing debate regarding the regulatory status of cryptocurrencies in the United States. With judges having differing opinions on whether crypto assets are subject to SEC regulation, a definitive ruling on XRP’s classification could pave the way for clarity in future cases. It remains to be seen how this appeal will unfold and what implications it might have on the legal framework for cryptocurrencies in the US.
