The post Ripple vs SEC Update: SEC Fires Back, Ripple’s Binance Case Argument Rejected in Final Filing appeared first on Coinpedia Fintech News
SEC once again created a Ripple effect in Ripple vs SEC! In the final stage of the case, the SEC files its response to Ripple’s latest filing. The SEC is shooting down everything Ripple mentions regarding the SEC vs Binance case, which would seem to help Ripple’s case against the SEC. Recently, Ripple highlighted the Binance case to argue against the SEC’s “regulation-by-enforcement” approach, pointing out the lack of regulatory clarity.
Here’s the latest update:
What’s New?
Defense attorney James Filan shared the latest court filing where the SEC argued that the SEC vs. Binance ruling was irrelevant to the ongoing case against Ripple. The SEC claimed that Ripple selectively highlighted a part of the lengthy Binance ruling to argue that it did not act recklessly and thus should not face severe penalties. Plus, the SEC avoided addressing the secondary market transactions of Binance Coin and the Programmatic Sales of XRP ruling.
SEC’s Fair Notice Argument
However, the SEC countered that the Binance ruling is irrelevant to the current dispute over remedies. SEC attorney Jorge Tenreiro emphasized that Ripple omitted a key part of the Binance ruling, which stated that the fair notice doctrine does not defend against liability.
Fair notice is a legal concept that ensures individuals are adequately informed of any claims or legal actions against them, allowing them sufficient information and opportunity to respond or defend themselves.
In the context of fair notice, the ruling also noted that the crypto industry had been informed of regulatory expectations with the 2017 DAO report, preceding most of Ripple’s XRP sales.
Legal Insight
Additionally, the SEC reminded that Ripple had received legal advice about potential issues with its sales, indicating it was aware of possible legal violations. Ripple’s opposition to the SEC’s motion for remedies argues for a penalty not exceeding $10 million, while the SEC has suggested a $2 billion penalty.
Former SEC official John Reed Stark described the Binance ruling as a significant loss for the exchange.
Judge Amy Berman Jackson referenced the Programmatic Sales of XRP ruling, agreeing with the approach of the Ripple Labs court, which found the SEC’s stance inconsistent with Supreme Court directives.
The question remains whether this will be the final court filing in the SEC vs. Ripple case.
Read Also: Ripple Defies SEC Settlement Offer, Fights for Crypto Clarity