Ripple has recently filed a notice of cross-appeal to the U.S. Court of Appeals for the Second Circuit in its ongoing litigation with the U.S. Securities and Exchange Commission (SEC). This move comes shortly after the SEC announced its intention to appeal a previous judgment regarding the case.
Stuart Alderoty, Ripple's chief legal officer, stated on X, "Today, Ripple filed a cross-appeal to ensure nothing’s left on the table, including the argument that there can’t be an 'investment contract' without essential rights and obligations found in a contract." This legal battle, which began nearly four years ago, revolves around the SEC's accusation that Ripple raised $1.3 billion through the sale of XRP, which the SEC claims is an unregistered security.
In a significant ruling over a year ago, Judge Analisa Torres determined that certain sales of XRP, termed programmatic sales, did not violate securities laws due to a blind bid process. However, she ruled that other direct sales of XRP to institutional investors were considered securities. Following this, Judge Torres ordered Ripple to pay $125 million in fines.
The SEC previously attempted to secure an interlocutory appeal, which was rejected by Judge Torres. She noted that the agency did not demonstrate that the appeal would materially advance the ultimate termination of the litigation.
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