Hinman Emails: SEC Could Still Beat Ripple…Here’s Why

May 22, 2023 11:23 am Comments

The United States tax code is over 30,000 pages long, and while taxes have nothing to do with the Ripple lawsuit, that level of bureaucracy and regulatory complexity does.

Recently, ex-Ripple executive, Matt Hamilton, issued an ominous warning that, despite Ripple’s best efforts, the SEC could still win. …

Hamilton explains that despite Ripple being right on the Hinman emails, this is no guarantee of a victory—due to the long and complex ‘vagaries’ of the US regulatory system.

We recently reported that new evidence regarding the Hinman emails could, potentially, spell game over for the Securities and Exchange Commission in the ongoing lawsuit.

Footnotes contained within an SEC email, regarding the Hinman documents, state that there are reasonable grounds to doubt that XRP could be considered a security.

More specifically, the cryptocurrency does not satisfy all the conditions of the Howey Test:

ZY Crypto writes:

While it’s still too early to tell what the ultimate outcome of the case will be, recent findings in court filings cast doubt on whether XRP passes the infamous Howey Test.

This means the unsealing of the Hinman emails could have a major legal impact on Ripple and its long-standing dispute with the SEC.

Attorney John Deaton remains hopeful that the SEC’s case has taken a huge hit due to the revelations made through emails regarding the Hinman docs.

According to this poll, the crypto community seems optimistic on Ripple’s chances as well.

U Today reports that recent legal developments and rulings should give the crypto community and XRP holders hope that Ripple will win:

The Supreme Court’s decision in the Twitter case supported this idea of adaptation by ruling that online platforms should not be held liable for user content based on existing laws.

In Ripple’s view, this supports their argument that laws and their interpretation need to evolve with changing realities, and in their specific case, that XRP should not be classified as a security under the current interpretation of the Howey Test.

Join the conversation!

We have no tolerance for comments containing violence, racism, profanity, vulgarity, doxing, or discourteous behavior. If a comment is spam, instead of replying to it please click the icon below and to the right of that comment. Thank you for partnering with us to maintain fruitful conversation.