Court Denies SEC Letter to File Document Countering Ripple’s Affirmative Defense

As widely reported, the Securities and Exchange Commission (SEC) has been deploying a series of delay tactics that have continued to stall the final judgment of the cause, thus hurting XRP investors. 

Interestingly, the SEC v. Ripple lawsuit has had a new development in favor of XRP holders.  

Judge Analisa Torres, who seems fed up with the SEC’s delay tactics, recently denied the agency’s letter to file a counter motion to strike out Ripple’s fourth affirmative defense, referred to as Sur-Reply. 

Ripple’s Sur-Reply argued that the court should not consider SEC’s public enforcement action in the cryptocurrency space filed before the lawsuit. 

According to a recent development, Judge Torres denied the SEC’s application letter for being unsigned and undated, as well as not identifying any specific legal authority for the relief sought. 

The Judge believed failure to attach a date and signature to the application was just another ploy to delay the lawsuit further. 

SEC’s Constant Delay of the Lawsuit    

The lawsuit filed by the Securities and Exchange Commission against the blockchain company has lingered for over a year, with the end reported severally to be closer than expected.  

However, the lawsuit has dragged on for months, with Ripple (XRP) investors having to endure the unfavorable price movement of the token. 

While the case has continued to linger for months, Ripple investors have on several occasions enquired about when the case will come to an end. 

Attorney John Deaton, a U.S. attorney granted amicus status in the Ripple case, speculated that the lawsuit could linger until next year, based on the constant delay tactics being used by the plaintiff. 

The Securities and Exchange Commission has, since the beginning of the lawsuit, used different tactics to stall the verdict, one of which includes Judge Torres allowing the SEC to file a motion to reconsider. 

Per comments made by attorney Deaton, these delays are hurting the more than 65,000 XRP holders who have endured significant losses throughout the course of the case.

The outcome of the lawsuit will determine how cryptocurrencies will be classed in the United States going forward. 

Crypto-Related Firms Prepare Lawsuit Against the SEC

In another development, popular cryptocurrency proponent and CEO of Tesla, Elon Musk, is reportedly preparing a lawsuit with substantial evidence of corruption against the SEC. 

Similarly, Terra (LUNA) is also reported to be planning a lawsuit against the Securities and Exchange Commission in the coming weeks. 

While none of these reports have been made official, the SEC v. Ripple case is giving crypto-related companies the confidence that they can embark on a lawsuit with the agency without being defeated from the initial start.