All crypto enthusiasts are aware of the lawsuit that is going on between SEC and Ripple as the lawsuit has stretched over months and is far from being completed or issued a final decision by the court. But it seems that Ripple has had a clear win over SEC in the past few motions, yet it doesn’t support the idea that the final outcome of the lawsuit would be the same. The whole basis for this lawsuit is that SEC finds Ripple guilty that it has raised funds through the sales of the unregistered securities in the month of December.
To which Ripple’s defense has said multiple times that being a cryptocurrency, they are not entitled to register their transactions or being paraded as the securities that need to be registered. But SEC believes that it never gave Ripple the title of cryptocurrency at all, but it remained security through and through. This is the main issue SEC is not willing to credit Ripple as a cryptocurrency.
Things are Turning in Favor of Ripple
The case has taken an interesting turn where it has been made public that SEC has changed its motive over the course of the case by subjecting Ripple as cryptocurrency in some sort of literacy medium and then neglecting and limiting it to unregistered security. This means that SEC has allegedly aided and abetted Ripple in selling those unregistered securities and, when push comes to shove, is turning the arrow on Ripple’s side.
It doesn’t matter who thinks like that or is SEC targeted here, but the case sure weighs too much on this notion that the change of motive over the course of the case depicts something shady going on with SEC and the way these regulations are implemented and upheld.
If something was not clear or altered, as pointed out by the two commissioners of the SEC by Ripple, then they should have said something or set the records straight but, in practice, did nothing and let the whole situation turn into a lawsuit. If somehow this intention can be proved, then SEC would have a really hard time winning, let alone surviving any lawsuit that they are going to bring forth.