XRP Lawsuit: SEC Chair Gary Gensler Remains Silent on Ripple’s Legal Victory: What’s Next?

The U.S. Securities and Exchange Commission Chairman Gary Gensler has chosen to maintain the suspense, avoiding revealing whether an appeal is forthcoming against the court’s decision favoring Ripple.

Gary Gensler Refuses to Provide a Clear Answer

During a recent interview, Gensler was questioned by Bloomberg’s Kailey Leinz regarding the SEC’s intention to appeal the judgment given by Judge Torres in the Ripple case. This query came in response to Gensler’s expressed disappointment last week regarding the court’s ruling favoring retail investors.

This ruling has determined that Ripple’s XRP cryptocurrency can only be considered security when sold to institutional investors, not retail ones. Leinz sought to clarify if the SEC’s statements of seeking review meant that an appeal was in the pipeline.

The Undecided Next Step

Gensler responded in an uncommitted manner, stating that he was just one among the five commissioners, implying his inability to single-handedly make the decision of an appeal. He continued to explain that any staff recommendations would be discussed among the commissioners before any final action is determined.

“The commissioners have not acted on that [deliberate on whether the SEC should appeal]. If the staff makes a recommendation, we will have a discussion of it, and we’ll take it up there. I don’t have anything more on that.”

— Gary Gensler

Ripple’s Response and Expectations

In a related development, Ripple’s chief counsel, Stuart Alderoty, has been vocal about the impact of the SEC’s lawsuit ruling, highlighting its positive influence on the larger cryptocurrency market. According to Alderoty, the ruling rejected the necessity for crypto exchanges trading digital tokens, such as XRP, to register as national security exchanges.

Alderoty also speculated about the SEC’s possible next move and Ripple’s preparedness for it. He noted that signs indicate the SEC is not satisfied with the ruling and may recommend an appeal.

However, Ripple is not deterred by this prospect, believing that the judge’s decision was legally sound, and confident that any appeal would result in affirmation or possible amplification of the ruling.