Part One of SEC-Ripple Saga Meets its End as Defendants Maintain High Hopes

Ripple and XRP holders maintain high optimism as discovery proceedings conclude.

Discovery proceedings that were scheduled to end on 28 February, have previously been extended on several occasions. Initially it had to end on October 12, but later the proceedings were extended 4 times. Firstly for November 15, Secondly for January 14, thirdly for January 19 and lastly for February 28.

Now, there seems to be a significant chance that the discovery phase will finally meet its end, this time around.

During the discovery phase, SEC and the defendant Ripple have fought neck to neck. However, apparently, it seems like Ripple is currently in a relatively stronger position. As the federal regulator is yet to put forward any evidence that suggests XRP of being a security. Additionally, SEC also has to prove that, if the XRP is actually a security, Ripple executives Chris Larsen and Brad Garlinghouse knew it to be such and that they sold it as security in the US.

Recently, founder of CryptoLaw and XRP holders’ representative in the lawsuit, John Deaton shared an email transcript, relevant to the case.

It is to be remembered that back in Dec 2020, US federal regulator SEC had filed a lawsuit against Ripple and its executives Chris Larsen and Brad Garlinghouse. The lawsuit deemed Ripple’s native crypto coin XRP a security and alleged Chris and Garlinghouse to have sold the asset as a security.

As a consequence Ripple initially suffered severe damages but later, as the time passed, the company regained the ground. Later during December 2021, CEO Garlinghouse declared the year Ripple’s best year ever.