Judge blocks SEC's bid to appeal loss against Ripple

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Judge blocks SEC's bid to appeal loss against Ripple

A federal judge has blocked the SEC's bid to appeal its ground-shaking loss against Ripple, the crypto firm associated with the XRP token.

District Judge Analisa Torres said in a brief ruling that the SEC had failed to meet its burden under the law to show that there were controlling questions of law or that there were substantial grounds for differences of opinion.

The decision is not a complete loss, though, for the SEC. The judge set an April 2024 trial date for other issues that remain unresolved. The agency may still try to appeal the case.

In July, the judge had ruled that while Ripple violated federal securities laws in selling XRP to investors directly, it did not do so by allowing XRP to be available to retail customers through programmatic sales to exchanges. The move casts doubt on how effectively securities regulators would be able to police crypto.

After July's ruling, the SEC announced that it would file an interlocutory appeal and move to stay any further decision-making as it bids for an appeal court review of Judge Torres' ruling.