Brad Garlinghouse, the CEO of Ripple, announced that his company and the U.S. Securities and Exchange Commission have ended their efforts to resolve the pending mutual appeal. Judge Torres rejected these efforts yesterday, officially marking a final setback.
In other words, Ripple has no way to challenge a decision made during the Gensler era, which prevents it from selling securities to individual investors. However, Garlinghouse is looking forward to new opportunities in other sectors.
Ripple and the U.S. Securities and Exchange Commission abandon the appeal process
The case of Ripple vs. the U.S. Securities and Exchange Commission was a significant event in the field of cryptocurrency regulation, but the scene did not end with the dismissal of the case. The two parties have spent the last few months trying to solve an urgent problem: the mutual appeal regarding non-institutional securities sales.
Ripple's CEO, Brad Garlinghouse, announced today that the company has finally surrendered:
In essence, Ripple was bound by a previous court ruling from the Gensler era. The U.S. Securities and Exchange Commission is now taking a more supportive stance toward cryptocurrencies and is trying to work with Ripple to overturn this ruling. Unfortunately, their cooperation has not been sufficient.
Judge Torres rejected their request yesterday, and any further efforts may take months or longer. In the face of this challenge, both Ripple and the SEC no longer believe the battle is worth the effort. The company will remain prohibited from selling securities to individual investors, possibly forever. Nevertheless, this will provide time and resources to build new futures contracts in other important sectors.