Is the SEC Set to Win Against Ripple? Insights from Better Markets CEO

Dennis Kelleher, CEO of Better Markets, claims that the U.S. Securities and Exchange Commission (SEC) has a 90% chance of winning its appeal in the ongoing Ripple lawsuit concerning XRP. He criticized the recent court ruling as fundamentally flawed, stating that the judge misapplied the law by incorrectly determining that sophisticated investors receive protection under securities laws, while unsophisticated investors do not.

Insights from Better Markets CEO on SEC's Appeal Against Ripple

Kelleher took to social media platform X to express his views, stating:

“Chance of SEC winning on appeal 90%: the Ripple judge got 90 years of law upside down when she ruled sophisticated investors get the protection of the securities laws, not unsophisticated investors. That’s why all the other judges have rejected it.”

His comments were directed at Ripple's chief legal officer, Stuart Alderoty, who had recently discussed the potential for an SEC challenge to the court ruling on XRP. Kelleher emphasized that the decision was not the definitive law and characterized it as a baseless ruling from a single district court judge, which he believes will be overturned on appeal.

In the final judgment, District Judge Analisa Torres granted and denied parts of the SEC's motion against Ripple, imposing a $125 million civil penalty instead of the nearly $2 billion sought by the SEC.

Alderoty expressed confidence in the ruling, suggesting that even if the SEC were to appeal, the status of XRP would remain unchanged. He noted that appeals courts reverse lower court decisions in less than 10% of cases, implying that the SEC's chances are slim. He also commended Judge Torres for her thorough handling of the case and criticized the SEC for overreaching, advising the agency to concentrate on its primary mission of protecting investors.

What are your thoughts? Do you agree with Kelleher’s confidence in the SEC’s case or support Ripple’s legal team’s optimism? Share your opinions below!