A Southern District Court in New York has upheld the request of the United States crypto advocacy group, the Chamber of Digital Commerce (CDC), to take part in the Ripple case as “amicus curiae”. According to reports, Judge Analisa Torres upheld it in a decision Wednesday. With that approval, the CDC is now qualified to assist the court with the necessary knowledge, expertise or advice on the case.
“Amicus curiae” is usually created by a person or group that is not a party to a lawsuit. However, the individual or group requests the court’s approval to present a summary in order to influence decisions. Reportedly, the CDC is deeply interested in the ongoing legal battle between the SEC and Ripple.
CDC to present its report by September 26
As a result of this development, the CDC must submit its report on the case by September 26. According to the CDC, it will not take an opinion on Ripple’s summary of whether its XRP sales are working as securities.
A pro-XRP activist and lawyer using the username @Belisarius2020 on Twitter said about the development. spoke. According to him, the CDC aims to convince the court that digital assets and transactions operate as two separate entities. Moreover, even if the court considers Ripple sales to be investment contracts, the lawyer predicts a positive outcome for the crypto space. He sees the group’s involvement in the lawsuit as neither good nor bad for Ripple or XRP. According to him, such a move makes sense and helps the continued functioning of the crypto industry.
Background of legal battle between Ripple and SEC
Koinfinans.com As we reported, the ongoing legal battle with the US Securities and Exchange Commission (SEC) began in 2020. Then the US regulator accused Ripple of selling $1.3 billion worth of unlicensed securities to investors. In its response, Ripple challenged the regulator’s powers to monitor its operations. He also called the SEC’s move illegal, arguing that XRP is not a security.
Recently, the two-year litigation took on another dimension when the US court ordered the SEC to publish the “Hinman speech.” The court blamed the SEC for covering up a speech document that could have facilitated Ripple’s defense.
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Disclaimer: What is written here is not investment advice. Cryptocurrency investments are high-risk investments. Every investment decision is under the individual’s own responsibility. Finally, Koinfinans and the author of this content cannot be held responsible for personal investment decisions.