XRP Army Community Helped Ripple Win SEC Lawsuit, Lawyer Says
TLDR
- The “XRP Army” community played a decisive role in helping Ripple win its SEC lawsuit, according to crypto lawyer John Deaton
- Judge Analisa Torres cited XRP holder affidavits and Deaton’s amicus brief in her July 2023 ruling that XRP is not a security
- XRP holders provided free research worth thousands of dollars, finding SEC speeches and documents that supported Ripple’s fair notice defense
- Ripple’s Deputy General Counsel confirmed the community’s efforts gave the court visibility that the case affected many people beyond just Ripple
- The SEC lawsuit officially ended in August 2024 when both parties agreed to drop their appeals
The four-year legal battle between Ripple Labs and the US Securities and Exchange Commission has ended with community advocates claiming credit for the outcome. Crypto lawyer John Deaton says the “XRP Army” of token holders played a key role in securing Ripple’s victory.
The SEC filed its lawsuit against Ripple in December 2020. The agency accused the company of selling XRP tokens as unregistered securities. Ripple fought back, arguing that XRP itself was not a security.
Judge Analisa Torres delivered a partial victory for Ripple in July 2023. She ruled that XRP tokens sold on exchanges were not securities. However, she found that some institutional sales could be considered securities.
Judge Citations Prove Community Impact
The court case generated over 2,000 exhibits from both sides. Judge Torres cited only a few dozen of these in her final decision. Among those citations were XRP holder affidavits and Deaton’s amicus brief.
The XRP Army conducted extensive research without being asked. They found SEC speeches, public statements, and documents that supported Ripple’s defense strategy. This work would have cost Ripple thousands of dollars in legal fees if done by attorneys.
Deborah McCrimmon is Ripple’s Vice President and Deputy General Counsel. She joined the company in 2018 as its only litigator and now leads the legal team. McCrimmon confirmed the community’s research proved invaluable during the case.
The XRP holders focused on supporting Ripple’s fair notice defense. This legal strategy argued that the SEC never clearly communicated how crypto regulations would be enforced. The community found historical evidence showing inconsistent SEC messaging about digital assets.
Community Research Saves Legal Costs
McCrimmon explained how the community’s volunteer work helped build Ripple’s case. The company was gathering evidence about past SEC statements on blockchain and crypto. The XRP Army began finding and sharing this information on social media platforms.
The XRP Army also gave the court a broader perspective on the case. McCrimmon said their involvement showed Judge Torres that the lawsuit “impacts a lot of people,” not just Ripple as a company. This helped demonstrate the wide-reaching effects of the SEC’s enforcement action.
Over 75,000 XRP holders submitted affidavits supporting Ripple’s position. These documents provided evidence about how people purchased and used XRP tokens. The affidavits helped counter the SEC’s claims about investor expectations.
The community organized lobbying efforts and social media campaigns throughout the four-year battle. They pressured regulators and maintained public attention on the case. This sustained pressure helped keep Ripple’s arguments in the public eye.
Both Ripple and the SEC agreed to drop their appeals in August 2024. The case officially ended with Ripple paying an $125 million penalty. This was far less than the $2 billion the SEC originally sought.
The post XRP Army Community Helped Ripple Win SEC Lawsuit, Lawyer Says appeared first on CoinCentral.
También te puede interesar
Embedded Gen AI: Smarter Predictive Maintenance Apps for Manufacturing
Crypto War Continues: Ripple (XRP) CTO Claps Back at Litecoin
