Popular and skilled lawyer Marc Fagel has done an extensive amount of work in securities litigation. He has written about the current court case between the U.S. Securities and Exchange Commission (SEC) and Ripple as well as Robinhood’s regulatory issues.
Last week, Fagel talked about the much-anticipated answer brief from the Securities and Exchange Commission in the SEC v. Ripple case. It is due today. In its response, Ripple said that the SEC’s goal of a huge $2 billion fine was not fair and asked for a fine that was significantly lower.
Fagel made it clear that the SEC’s reply brief is due soon, but the court could take up to two months to make a decision, so people should not guess what will happen too soon.
SEC’s Appeal Rights
Concerning the potential of an appeal, Fagel said again that the Securities and Exchange Commission has the right to appeal certain parts of the case, even if the court rules in favor of the penalties. This shows that the agency has a history of appealing cases.
Meanwhile, Robinhood is being looked at more closely by officials after getting a Wells Notice from the Securities and Exchange Commission, which includes staff suggestions for a possible lawsuit. This happened after Robinhood was served with a subpoena that asked them to explain different parts of how they handle cryptocurrency.
Fagel made the meaning of the Wells Notice clear and cleared up any confusion about it. He explained that, contrary to what most people think, it means the end of the SEC’s probe and comes before the recommendation for enforcement action, which is usually a process that lasts several months and often ends with federal court proceedings.
Crypto fans are eagerly waiting for more news to come out, but for now, all eyes are on the court cases and regulatory decisions that will affect the future of the whole market.
