In a recent legal development, Ripple has achieved a minor victory in its ongoing lawsuit with the U.S. Securities and Exchange Commission (SEC). Judge Analisa Torres has consented to a mutual request to seal sensitive documents presented by both entities. This agreement was reached on March 20, 2024.
Settlement Discussions Protected
The sealing of documents includes potential settlement discussions in the case, which could contain sensitive financial information from Ripple’s accounts post-SEC’s December 2020 litigation regarding XRP sales. Both Ripple and the SEC have argued for the sealing to safeguard proprietary financial data.
The court’s acceptance of the joint request paves the way for a modified timeline and procedures for redacting settlement-related documents. This compromise will shed light on the central points of contention between the parties, while withholding any sensitive business information from public view.
Revised Timelines and Openings for Settlement
The updated schedule introduces new dates for filing briefs and redaction negotiations. The SEC will file its initial brief on March 22, with a period to discuss redactions following. Redacted briefs are expected to be made available to the public, with the SEC releasing theirs on March 26 and Ripple on April 22.
With a response deadline of May 20, the extended timeline is supposed to allow for a detailed examination of the arguments for settlement, fostering a chance for the dispute to be resolved amicably. Speculation is rife among legal commentators that Ripple and the SEC might reach a settlement before the case proceeds to court.
Implications for XRP’s Market Performance
The legal battle has undeniably influenced XRP’s market value, with a recent 4.43% surge in response to the latest developments. Nevertheless, the long-term effects on XRP’s performance are still indeterminate, tied closely to the SEC’s scrutiny of its sales. While a previous ruling in July 2023 deemed XRP not a security under U.S. law, offering some respite to Ripple, the definitive impact on XRP’s worth hinges on the case’s conclusion, which may not arrive until 2025.
