Ripple makes small profits in litigation as the SEC approves partial editorial offices

Ripple Labs posted two small wins in the U.S. Securities Exchange Commission’s (SEC) ongoing lawsuit.

In its first case, the San Francisco company was allowed to keep some of the email correspondence between its executives and other parties private. On March 31, Judge Sarah Netburn directed the SEC and Ripple to meet and discuss their application for a temporary seal.

#SEC v. #RIPPLE #xrpcommmunity 1/3 Judge Netburn Grants Ripple’s Application for Sealing on a Preliminary Basis – ORDER to Grant 83 Letter Motion to Seal. The defendant’s request for sealing is only granted temporarily. In addition, the parties are instructed to meet and discuss

– James K. Filan (@FilanLaw) March 31, 2021

After the two parties met, they agreed on editorships for two email exchanges, but couldn’t find common ground for the other two. The first is an exchange between CEO Brad Garlinghouse and an anonymous party at Rippleworks, Ripple’s nonprofit venture capital arm. The second is an exchange between anonymous parties about the public perception of XRP.

“I think this risk factor is related to why Ripple probably has more control over XRP than other Bitcoin holders, as Ripple creates XRP and holds most of it. I just want to know how cryptographic bridging plays a role in this risk factor, ”the second email said.

The SEC and Ripple have not yet reached an agreement on the other two documents. The Securities Commission, for its part, has been very insistent that it does not agree to editorial offices in emails containing Chris Larsen’s personal financial information. It also insists that emails sharing Ripple’s strategy with private investors must be part of the lawsuit.

However, the Ripple legal team disagrees. In a letter to the judge, the lawyers alleged the email contained an exchange between former CEO Chris Larsen and a party that had a relationship with Ripple. As such, it should never be public. It also contains confidential information about the initial distribution of XRP.

#SEC v. #RIPPLE #XRPcommunity Ripple’s letter about the application for sealing with the proposed edited exhibits 1 and 2, submitted this evening, 4.2.2021

– James K. Filan (@FilanLaw) April 3, 2021

Meanwhile, Judge Netburn granted Ripple access to SEC documents that set out the interpretations and views of the digital currency XRP. Ripple can access the SEC’s memos and logs on digital currencies.

Matthew Solomon, one of the attorneys representing Garlinghouse, believes this is a milestone for Ripple and that it could be a game for the SEC if he finds evidence that the regulator considers XRP to be similar to ETH or BTC.

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