Massive Blow To XRP Holders As Ripple’s Top Lawyer Says SEC Lawsuit Likely To End In 2023

XRP investors hoping for a quicker resolution of the SEC v. Ripple courtroom saga will have to wait a little longer than they would like. According to Stuart Alderoty, the General Counsel for Ripple, the case is possibly going into 2023.

Ripple Is Pushing Hard To End Lawsuit Despite SEC’s Delays

Alderoty thanked all those who have been following the SEC lawsuit so far, adding that Ripple and the court are working hard to resolve the complex legal battle as soon as possible.

The SEC, on the other hand, has been using all tactics at its disposal to delay the long-standing spat even further — much to the detriment of investors. Now, the top Ripple lawyer sees the case concluding in 2023.

Alderoty noted in a lengthy tweetstorm on Saturday that with each passing day of the lawsuit, the SEC is harming XRP holders who were essentially rug pulled by the agency’s enforcement actions. The XRP market was brutally hit the day the lawsuit was initiated, and that has been a disastrous blow to investors who the SEC claims to protect.

He then recalls that the securities regulator didn’t get a court injunction to halt XRP trading in the United States when they filed their complaint back in December 2020. Regardless, multiple cryptocurrency exchanges delisted the token from their platforms shortly after the SEC accused Ripple of unlawfully raising $1.3 billion through an unregistered securities offering. This way, the agency was able to accomplish its objective anyway.

Brain Drain: SEC’s Crypto Uncertainty Forcing Talent And Wealth To Leave The US 

The General Counsel at Ripple then knocked the SEC for not providing regulatory clarity in the U.S., a predominant aspect of the firm’s defense. The recently signed executive order estimates that at least 40 million Americans own cryptocurrencies presently, despite the “cloud of uncertainty” that the agency has put over the industry.

Notably, the SEC insists that most crypto assets are securities and that some exchanges are operating illegally. It has, however, not mentioned which ones and neither has it tried to close down any exchange. Though the SEC is aware it doesn’t have any real authority over the fledgling crypto sector, it will continue using every trick in the book to create confusion in the cryptocurrency market.

This hostile response from the regulator, according to the attorney, has led to a “massive transfer of crypto talent, tech and wealth moving offshore to jurisdictions with rational regulatory frameworks.” Aldorety also mentioned that entrepreneurs in the crypto space are being advised not to set up shop in the US due to its lack of clarity.