Ripple vs. SEC : How Ripple’s Delays Could Influence SEC Lawsuit Outcome

The post Ripple vs. SEC : How Ripple’s Delays Could Influence SEC Lawsuit Outcome appeared first on Coinpedia Fintech News

In a motion filed in federal court, Ripple requested an extension of time, to shift the original date of January 17 to January 19, to answer the SEC’s motion. It wants to finish whatever material it is preparing for its lawyers, its executives and its witnesses. 

In essentially legal terms, delaying the response to a brief by one day can be like delaying the resolution. Reacting to this move, Yassin Mobarak, founder of Dizer Capital, suggests that Ripple’s delay tactics are strategic, noting that time is not in the SEC’s favour.

How Ripple Use­s Delays to Advantage

Mobarak implies that Ripple­’s plea for more time shows the­ir strategic plan to stretch out the lawsuit. He­ makes a point about the SEC fee­ling the tick of the clock, approximating a period of 6 to 9 months before pote­ntial shifts due to U.S. elections. Mobarak thinks that the­ current SEC leader, Gary Ge­nsler, may not stay on post-election. This could alte­r the court case if a crypto-friendly re­gulator succeeds him. Mobarak belie­ves these postpone­ments tilt the table in Ripple­’s favour.

Gary Gensler, the acting chair of the SEC, may not be occupying it when the next election comes around and possibly determining the course of the lawsuit if a pro-crypto regulator succeeds him.

“If things get dragged out to a point where a pro-crypto SEC comes into play, the landscape for settlement changes,” she said yesterday.

Change in Approaches to Delay

Mobarik has now an opinion different from the past. Ripple has moved the motion several times for an extension of time. However, in considering the completion of the background investigation designed to assess managers at the SEC, Ripple’s latest attempt provides fresh perspectives on events.

What the Ripple Change Means for the SEC?

In one respect, Mobarak asserts that the precious commodity on which the SEC depends most is time. Moreover, any prolongation of the case could shift the order and responses. The scheduling order of the court means that the SEC will make a filing on April 29, 2024, which would be the last of the remedy stage motions. Speaking purely as a numbers man, Fred Rispoli, who takes for XRP, sees a ruling in early June. Now these two parties’ plans are intertwined with legal strategy.