Did SEC’s Closed-Door Meeting Mark the End of XRP Lawsuit? Judge Torres Steps Aside

Ripple vs. SEC case saw renewed speculations after the SEC’s closed-door meeting yesterday. Posts on X suggested that the agency may soon drop its appeal. One widely shared post claimed that it could be withdrawn as early as today. 

There was also confusion that the case still rests with the court, and only Judge Torres can finalize a settlement. However, former SEC attorney Marc Fagel jumped in to clarify that Judge Torres has no further role in the case. 

Judge Torres Has No Further Role In The Case.

The legal expert shared that currently, there is nothing pending before Judge Torres. She has already ruled on the matter, finding Ripple in violation of the securities law. She had also issued a $125 million penalty and enjoined the company on future violations. 

With her ruling complete, it is now up to the SEC and Ripple to proceed or dismiss their appeals. “The parties can drop their appeals, at which time her order against Ripple takes effect. Judge Torres has no further role in this,” he said. 

Ripple CEO Brad Garlinghouse had recently announced the company’s intent to drop the appeal. However, Fagel noted that no official filing has been made yet. But he expects that both parties will file to dismiss their appeals. 

No Set Timeline Yet

There were expectations that the recent closed-door SEC meeting on July 3rd could bring some updates to the case. However, Fagel explains that it was very unlikely as the meeting was a part of the SEC’s regular weekly schedule, and the agenda was likely set before the recent court ruling. 

According to Fagel, although the appeals process could take weeks or much longer, a faster resolution could also happen. Since the SEC has already voted once to dismiss, the process may be expedited, even though such approvals usually take time. There is a “no set timeframe” he said. 

FAQs