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- Ripple’s potential appeal could increase the SEC’s financial liability beyond the $125 million penalty, including statutory interest and appeal costs.
- Legal experts suggest the SEC could face additional financial burdens if Ripple wins on all appeal issues.
Despite the XRP lawsuit breakthrough that CNF highlighted earlier, a turn of events has reignited debates over a potential appeal in the ongoing XRP lawsuit, with lawyer Fred Rispoli raising critical questions about the financial implications for the US SEC if it loses.
In a recent post on X, Fred Rispoli posed a question to securities lawyers, inquiring about the potential outcomes of an SEC vs. Ripple appeal. He asked whether, if Ripple were to win on all issues, the SEC would not only have to return the $125 million penalty but also be required to pay statutory interest.
On the odds of an #SECvsRipple appeal, can any securities lawyers answer this question for me:
If there is an appeal and if @ripple wins on every issue over the SEC, aside from returning the $125M penalty to Ripple, does the SEC have to pay statutory interest on that?
— Fred Rispoli (@freddyriz) August 26, 2024
Could the SEC owe more than $125 million?
A recent CNF update discussed whether the SEC would only need to return the $125 million penalty it imposed on Ripple or if it would also be liable for additional statutory interest payments. This issue has gained traction as Ripple considers a cross-appeal, potentially challenging the court’s decision on its institutional sales.
Furthermore, former SEC lawyer James Farrell pointed out that if Ripple wins the appeal, the SEC might have to cover not only the $125 million but also bear the costs associated with the appeal, including bond payments.
According to CoinMarketCap data, Ripple (XRP) is trading at $0.5685, having decreased by 3.20% in the past day and 3.62% in the past week. See the XRP price chart below.
