Lawyers believe the US SEC has two more days to file its Form C to avoid having its appeal dismissed in the XRP lawsuit.
The U.S. Securities and Exchange Commission (SEC) missed the deadline for filing its appeal in the Ripple lawsuit, stirring discussions within the XRP community about whether the Second Circuit Court will dismiss the appeal.
Experts and attorneys have weighed in on the SEC’s delay and its potential consequences.
Ripple SEC Lawsuit Appeal Could Be Dismissed?
Members of the XRP community are seeking clarification from Ripple CEO Brad Garlinghouse and Chief Legal Officer Stuart Alderoty, as the SEC failed to file Form C—detailing the appeal terms—by the deadline. This lapse has led to speculation that the appeal could be dismissed.
Fox Business journalist Eleanor Terrett confirmed in a post on X that no filing appeared on Pacer, with attorneys, including Ripple’s General Counsel, stating that the SEC’s deadline was October 16.
However, lawyers Jeremy Hogan and Terrett later shared court documents indicating that the actual deadline is Friday, October 18 at 11:59 PM, as the appeal wasn’t officially docketed until October 4.
The 14-day appeal window typically begins once the appeal is docketed rather than when it’s initially filed.
Former SEC Lawyer Addresses Confusion in XRP Lawsuit
Under Local Rule 12.1(d) of the Second Circuit, failure to meet the filing deadline could result in the appeal’s dismissal.
Amid confusion over the deadline, legal experts like Bill Morgan, Fred Rispoli, and James Murphy clarified that the SEC is not in danger of missing the appeal deadline.
Former SEC attorney Marc Fagel explained that the docketing notice refers to the acknowledgment from the court, which may extend the 14-day deadline.
“In any event, if they did screw up, it’s just that; this is not the SEC walking away from the appeal. And it’s not like we don’t know the basis for the appeal that will eventually be in the Form C.”
The SEC’s notice of appeal, filed on October 2, indicated that the agency was appealing the court’s Order on Motion for Summary Judgment regarding $125 million in penalties during the remedies phase.
The appeal record and docket sheet were transmitted on October 3 and officially docketed in the Second Circuit Court on October 4, giving the SEC additional time to submit Form C and Form D.
XRP Price Nears $0.60
XRP’s price rose by 2% as speculation grows around the SEC’s appeal deadline in the Ripple case.
The cryptocurrency is currently trading at $0.55, with a 24-hour range of $0.543 to $0.561.
Additionally, trading volume increased by 20% over the last 24 hours, signaling heightened interest among traders.
Institutional investors also showed increased interest, as XRP buying surged by 266%, despite Ripple’s and the SEC’s ongoing appeals.
Analyst Egrag Crypto forecasts a potential rally for XRP, with a short-term price target of $1.5.
However, buying activity in the derivatives market remains subdued ahead of an upcoming expiration on Friday.
Data from Coinglass reveals that total open interest (OI) in XRP futures dropped by 1.25% over the last four hours, standing at $768.09 million.
