A Game of Thrones: SEC v Ripple Saga Heats Up, Bitnominal Joins As Crypto Ally

• The US Securities and Exchange Commission (SEC) appealed the court's decision that Ripple ($XRP) was a non-security.
• Ripple CEO Brad Garlinghouse filed a cross-appeal and promised to seal the SEC's fate.
• Bitnominal joined Ripple as an ally, suing the SEC for overreaching its authorityand disregarding the court's ruling.

The SEC v Ripple saga continues, resembling R.R. Martin's grim, brutal Song of Ice and Fire' more than the whimsical Lord of the Rings' (yet equally epic).

In the summer, the Court ruled that $XRP was not a security. Last week, the SEC filed another appeal, committed to being Ripple's pain in the neck until Gensler finds a new obsession or steps down.

Crypto industry players are ready to rumble as Ripple filed a cross-appeal and Bitnominal exchange sued the SEC for overextending its jurisdiction over its new $XRP futures.

Will this battle be the end of the SEC's rule? Let's unpack the situation and theorize on the SEC's motive.

Bitnominal Sues SEC for Overreaching AuthorityThe SEC attempted to establish regulation over Bitnominal's soon-to-be-listed $XRP futures product despite it already being supervised by the Commodity Futures Trading Commission (CFTC).

Bitnominal wasn't going to put up with tyranny in a democratic country and took the case to court.

According to Thursday's court filing, the agency claimed that $XRP futures are securities contracts and must be supervised by both the SEC and CFTC.

Bitnominal disagreed, pointing to the SEC v Ripple case verdict. The firm noted that the SEC tried to impose additional requirements on the product's certification, including the registration of Bitonimal as a securities exchange.

At this point, the SEC's decisions appear erratic, to put it nicely. $XRP is not a security; even if it was, Bitnominal isn't its issuer. The exchange has no power to register it as such.

Ripple Vows to Seal SEC's Fate

In response to the SEC's appeal, Garlinghouse filed a cross-appeal and criticized the agency for creating havoc.'

If Gensler and the SEC cared about the rule of law, they would accept their loss and move on.Brad Garlinghouse

Garlinghouse declared that the cross-appeal would vow to end the SEC's regulation by enforcementand would lead as an example to others in the industry.

Ripple CLO Stuart Alderoty added the SEC lost on all points. He reminded the SEC promised not to appeal the court's decisionand even apologized for suggesting $XRP could be a security.

$XRP recorded a 2.35% uptrend following the filing, rebounding to $0.538 after its recent drop to $0.518.

Yesterday, one of the world's fastest-growing exchanges, Crypto.com, also did a preemptive strike against the SEC after receiving a Wells notice.

How Long Will The SEC Flex Its Muscles?

The SEC's actions contradict its own statements - not a good look for a government agency meant to bring clarity to the table.

The agency is ready to bend the rules and face public backlash to establish control. Are these actions based on personal opinions rather than objective legal interpretations or a desperate attempt to protect its turf in the rise of a new, decentralized economy?

This battle is far from over, and the SEC may ultimately find that such an overreach has serious consequences for its reputation and authority.

References

• Brad Garlinghouse (X)
• Stuart Alderoty (X)

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