BREAKING: SEC Demands HUNDREDS Of MILLIONS From Ripple Labs

These people just won’t quit, will they?

Following Ripple’s historic victory against the Securities and Exchange Commission and the dropping of all charges against Ripple CEO Brad Garlinghouse and Chris Larsen, the SEC is still at it.

The government agency is now demanding $770 million from Ripple Labs as a penalty. Cryptopolitan reports:

The regulatory body, evidently embarrassed, now seemingly wants to make a statement by extracting a $770 million penalty from Ripple. However, Ripple isn’t backing down quickly.

Attorney Jeremy Hogan believes that the likelihood of the SEC getting its way is slim to none.

The pro-XRP attorney shared his thoughts on both the draconian penalty sought by the SEC and the broader case in this recent thread:

The SEC dismissed the rest of the case, so there will be no trial next year. The facts have been set – nothing new or surprising will be coming out.

Which means the Court will be issuing a Final Judgment (probably) sometime next year. Only Ripple needs to worry about that. 😛

— Jeremy Hogan (@attorneyjeremy1) October 21, 2023

Luckily, we have statistics which tell us!

As you see below, the SEC has a 14.2% chance of winning on appeal. 14.2%.

And I think it's fair to say that the manner in which the Judge wrote her opinion (very fact based), at a minimum, does not increase that chance for the SEC. pic.twitter.com/LTsOU5eEgE

— Jeremy Hogan (@attorneyjeremy1) October 21, 2023

As to "other distributions" of XRP, you can see in FN 18 that the Judge did not make findings as to the 2nd & 3rd prongs of Howey.

ONLY the trial judge can do that.

What would the Judge rule? Who knows. 🤷‍♂️ But you'd have to think there's a CHANCE she would rule for Ripple. pic.twitter.com/ZzmOPMl5Kf

— Jeremy Hogan (@attorneyjeremy1) October 21, 2023

And THEN, after the Judge makes a 2nd round of judicial determinations, it can then be appealed again up to the Appellate court (now with all issues ruled on).

And only then could the SEC win on appeal and leave with a Victory! ✌️

Unless Ripple appeals to the Sup Court… 😛

— Jeremy Hogan (@attorneyjeremy1) October 21, 2023

SO, that's why I say that "for all Intents and Purposes" this case is over.

Unlike on TV, a lot of legal cases end with a whimper and drag on for a year after the main issues have been locked in. And I think that's what we will see here.

PS. I just learned about Emojis! 💡🙂

— Jeremy Hogan (@attorneyjeremy1) October 21, 2023

I have now done the MATH and, taking into account the chance of a win on appeal, surviving more litigation, and still being able to maintain the lawsuit against Ripple into 2026:

The chance of the SEC winning is exactly 2.367%.

Same odds as the Jets winning the Super Bowl!

— Jeremy Hogan (@attorneyjeremy1) October 21, 2023

CNBC explains that Ripple has already expended massive sums to combat the SEC:

“With the SEC, we will spend — this is the first time I’ve shared this publicly — by the time all’s said and done, we will have spent $200 million defending ourselves against a lawsuit, which from its very beginning, people were like, well, this doesn’t make a lot of sense,” Garlinghouse said during a fireside chat with CNBC’s Dan Murphy at the Dubai Fintech Summit.

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