FOX Business journalist Eleanor Terrett speculates that the SEC and Ripple could agree to temporarily halt their lawsuit based on recent developments in the Binance case.
Terrett made this projection after the SEC and Binance jointly requested to stay (pause) the lawsuit’s proceeding for 60 days.
SEC and Binance Jointly Request 60-Day Stay
In the motion filed yesterday, the parties suggested that the SEC’s new Crypto Task Force could impact the case’s potential resolution. Hence, they requested a 60-day stay ‘in the interest of the judicial economy.’
They indicated that the ‘stay’ will help them to save resources, especially if they reach an early resolution during this period, eliminating ‘the need to continue merits discovery.’ After the 60-day pause, the parties plan to issue a joint report to determine whether to continue halting the proceeding.
“Accordingly, the parties request that the court grants this joint motion to stay,” the filing read.
FOX Business Journalist Makes Prediction About Ripple Case
Commenting on the development, Terrett stated that this is the first time the SEC has requested to pause proceedings in a crypto lawsuit under acting chair Mark Uyeda.
Consequently, she speculated that other non-fraud crypto litigations, including Ripple, might follow a similar approach.
🚨NEW: Here’s the first requested pause on #crypto litigation in the courts since @MarkUyedaUS took over as acting chair. @binance and the @SECGov have just filed a joint motion to stay the agency’s case against the exchange for 60 days, citing the new SEC crypto task force as… pic.twitter.com/D2zcolMNC5
— Eleanor Terrett (@EleanorTerrett) February 11, 2025
The multi-year Ripple lawsuit is currently in the Court of Appeals for the Second Circuit. The SEC seeks to overturn a New York federal court ruling that held that Ripple’s XRP sales on digital exchanges and other distributions do not constitute investment contracts.
As previously reported, the regulator filed its opening brief last month, and Ripple will respond on April 16, 2025.
While preparing for its opposition brief, Ripple’s executives, like CLO Stuart Alderoty, are confident that the current administration will dismiss the lawsuit. So far, the SEC has not made any move hinting at an imminent dismissal or settlement of the Ripple case.
Nonetheless, XRP proponents have remained optimistic about a resolution, given the SEC’s recent policy shift from an enforcement-heavy approach to providing clear rules for the industry.
This shift involves the SEC’s internal enforcement unit’s downsizing and creating the crypto task force- which focuses on developing a regulatory framework for the agency.
Settlement Rumours Soar
Meanwhile, the recent development in the Binance lawsuit has triggered speculations about a potential settlement of the Ripple case. Prominent XRP community figure XRPCryptoWolf expressed confidence that the SEC will withdraw its appeal against Ripple.
Also, others suggested that a settlement in the SEC v. Ripple case is around the corner. While there is a tendency for the SEC to request to halt other non-fraud crypto-related lawsuits, it remains to be seen whether the commission will drop the Ripple case anytime soon.
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