Kenne Michael 
The U.S. Securities and Exchange Commission (SEC) has reportedly filed a lawsuit against Ripple. CNBC reports that Ripple has reaffirmed its intention to fight the litigation.
The case, which has been unfolding for nearly three years, revolves around allegations that Ripple and its co-founders violated securities laws by selling $1.3 billion worth of its native cryptocurrency, XRP, without proper registration.
President of Ripple, Monica Long, declared to CNBC that they are determined to “fight the case all the way through.”
Ripple consistently maintains that XRP should be classified as a commodity rather than a security, a position supported by a pivotal ruling by U.S. District Judge Analisa Torres in July, which suggested that XRP might not necessarily be considered a security.
Nevertheless, the SEC upholds its position that the company violated securities laws by offering XRP to retail investors through cryptocurrency exchanges.
The regulatory agency recently responded to a memo from Ripple, affirming the necessity of appeals court intervention to resolve this critical question.
The company had argued that an appeal of the SEC’s case was unwarranted.
SEC Chairman Gary Gensler’s perspective on cryptocurrencies as securities remains unwavering despite recent court decisions favoring cryptocurrency firms.
Gensler’s stance was emphasized during his recent testimony, and he is scheduled to appear at a hearing before the Senate Banking Committee.
The ongoing appeal by the SEC in the Ripple case is expected to establish a precedent for other cryptocurrency firms confronting similar regulatory challenges, potentially influencing the outcomes of their legal disputes.
