Overruled!

If you have been following the SEC case against Ripple, then you’re aware that the SEC has continuously asked the judge to keep some of their internal documents related to cryptocurrencies out of the courtroom and opposing counsel’s hand. While the Magistrate Judge has ruled on this multiple times, the SEC continues to object, forcing the issue to a higher court where District Judge Analisa Torres overruled the objection this week, ordering the SEC to comply.

• The case has been ongoing since 2020 when the SEC alleged that Ripple sales of the XRP token constituted an unregistered securities offering.
• Lawyers for Ripple have continued to request letters and memos related to the infamous 2018 speech given by previous SEC Director Bill Hinman. Normally the SEC would not have to reveal any documents that were related to crafting policy or internal deliberations, but earlier in the trial, the SEC declared that Hinman’s speech was a personal opinion and not the policy of the department.
• Magistrate Judge Sarah Netburn, said the conflicting arguments would lead you to believe “the SEC is adopting litigation to further its desired goal and not out of a faithful allegiance to the law.”

If this story sounds eerily familiar, you are not experiencing deja vu. The SEC keeps dragging its feet when it comes to turning over these documents. Regardless of the outcome, this case will set legal precedence for the digital asset space.