Ripple CLO Projects the End to SEC Lawsuit in 2024

Stuart Alderoty, Ripple Labs Chief Legal Officer has shared his projections for the coming year, just like many other crypto experts have done.

The speculations were in response to Ripple’s request for its executives’ opinion on the coming year. Alderoty touched on the future outlook for the digital asset landscape in terms of regulations and the settlement of existing lawsuits with the United States authorities. 

Ripple vs SEC Lawsuit Ends in 2024

Unsurprisingly, most of Alderoty’s forecasts found their basis in policies and regulations. As an experienced lawyer, he seemed to be more interested in what the next year holds for crypto regulation. His first point of call was the three-year-long “misguided” Ripple lawsuit with the Securities and Exchange Commission (SEC). The Ripple CLO is positive that 2024 will be the end of the lawsuit. 

His positivity concerning the case does not come as a surprise because a crucial part of the lawsuit has been dealt with this year. Recall that Judge Analisa Torres ruled in favor of Ripple Labs a few months ago when she said XRP is not securities. The SEC tried to counter this verdict, citing how it gives precedent to other existing lawsuits. At first, the effort was futile.

SEC Attempts to Counter Judge’s Verdict 

The regulator filed a motion for interlocutory appeal but the request was denied by the same judge. However, things took a new turn when she charged Ripple Labs for violating securities laws when it sold XRP to institutional investors. This handed victory back to the U.S. SEC. The final verdict is expected to be given next year.

“In 2024, the last bit of the SEC’s misguided lawsuit against Ripple will finally come to an end, but the SEC’s campaign of regulation by enforcement will continue against other industry leaders,” Ripple CLO stated.

U.S. Judges to be the End of SEC

Alderoty also talked about the intense scrutiny that the crypto ecosystem received this year from the SEC. 

Binance, Coinbase, Kraken, and many other crypto ventures were hit with several enforcement actions by the agency this year. The Ripple executive is positive that this tactic will continue in the coming year. At the same time, he sees the possibility of U.S. judges ‘clipping the wings’ of the SEC.

First, it was Judge Torres in the XRP case, then Judge Neomi Rao also called the SEC’s decision in its lawsuit with Grayscale, “arbitrary and capricious”, leading to Grayscale’s victory. Similarly, Alderoty believes that Congress will be more involved in the cryptosphere in the coming year.