Recently, Ripple Defense Attorney James Filan tweeted a timeline on Twitter, which gives insight into what to expect over the next several weeks and months of the SEC v Ripple case. After review of the timeline it becomes evident that a decision in the world-renowned cryptocurrency case could very well be possible in the not too distant future. In the legal proceedings, The Securities and Exchange Commission claims Ripple sold unregistered securities, or investment contracts by making the initial offering of its XRP token available to the public.
The case, originally filed by the SEC on December 22, 2020, has dragged on for some time now, with people across the world tuned in for various reasons. Relatively every cryptocurrency professional is tuned into the trial and outcome, along with anyone working directly or indirectly, in industries affected by major monetary policies and regulations. Just days ago, Attorney James Filan released specific dates, which help give further clarity into the expected timeline, barring no unforeseeable delays.
What Do The Next Steps Look Like In The SEC v Ripple Case?
In the letter the Defense Attorney shared the following timeline items in order to give a clear picture into what can be expected in the case over the next few months. Decisions on sealing issues in regards to expert testimony were filed on July 28. Substantive opposition to any sealing motion filed can be submitted by August 9. Beyond that with respect to the opposition to sealing motions, replies can be submitted on or before August 30.
Other dates listed by Attorney Filan were September 13, which is the deadline for the Motions for Summary Judgment, opposition by October 18, and replies to opposition by November 15. Presiding Judge Torres, District Court of the Southern District of New York, will make a final decision at some point thereafter. Attorney Filan went on to offer his opinion that Judge Torres will most likely render a decision on or before March 31, 2023.
The Importance Of SEC v Ripple
With elements of the timeline now clearer, the focus can shift to the reason why the case is important to so many inside and outside of the cryptocurrency market and industry. It is the opinion of many experts that the SEC v Ripple case has a great deal of importance, and could establish how the four elements of the Howey Test will be interpreted throughout the cryptocurrency market altogether.
In 1946 the Supreme Court case, SEC v WJ Howey Co, established that a security, or investment contract exists if four conditions are met. If there is an investment of money, into a common enterprise, with a reasonable expectation of profit, derived by the efforts of others, then such contracts would equate to a security offering. In these cases, the company, which with regards to WJ Howey Co, dealt in Orange Groves in Florida, would need to file and register as such with the SEC prior to being offered to the public.
The Ripple defense team is standing on Ripple not being a security, but instead a virtual currency used in the Ripple ecosystem, and other functions, one of which being as a global payment network. The results of this case could set the course for whatever the SEC does next in terms of establishing regulatory clarity and also potentially filing suits against other digital currencies.