With a series of rulings in favor of Ripple in the XRP litigation, there is growing hope that the litigation will soon be over. XRP advocates point to the recent ruling in the case as an indication that the SEC's core arguments have been weakened. Ripple's latest response to the SEC's move has also fueled optimism. Here are the details
Ripple Support for XRP Advocates
In its latest filing, Ripple has responded to the SEC's request for partial reconsideration and clarification of the court's decision on deliberative process privilege (DPP). First, the SEC asked the court to allow additional documents to be filed to support the claim that Bill Hinman's 2018 speech should have been covered by the DPP.
In response to the move, Ripple implied that the SEC was seeking a "renewal" only to overturn the court's previous decision.
The filing stated, in part, that "the SEC's resolution was an improper attempt to update because the court was not satisfied with the order in the prior briefing."
Ripple also added that the SEC wanted to change course even after Hinman's speech was sworn to be his personal opinion. The company cited the SEC's argument that "Hinman's speech should fall into an administrative twilight zone between "personal opinion" and "corporate (SEC) policy.
XRP advocates also renewed their support for the company, as it received a candid response from Ripple's legal team. The XRP community also continues to point to possible concessions by the SEC in its handling of XRP and Ether. They believe the SEC has gone as far as it can go, as all evidence suggests the commission failed to prove Ripple executives were wrong. Popular XRP supporter attorney John Deaton recently released the following statement.
"The SEC cannot carry its burden. The SEC must prove that the two executives either recklessly did not know or did not know that XRP was a security."
Deaton also presented some incriminating evidence against the SEC. Deaton believes that former SEC Chairman Jay Clayton and Bill Hinman have very clear ties to key players associated with the ethereum blockchain.
These links played a role in the SEC's action to designate XRP as a security and prosecute Ripple. Deaton supports this and provides several examples of how it is unclear to the SEC whether XRP is a security until 2020.
SEC vs SEC ends @ripple case ends with @JohnEDeaton1 part 2 pic.twitter.com/uBcOABux5Y– Digital Asset Investor (@digitalassetbuy) February 23, 2022