Ripple Labs is seeking a delay in the $125 million payment ordered by the United States Securities and Exchange Commission (SEC). The legal team defending Ripple asked the court to stay this monetary portion of the judgment from Aug. 7.
Ripple’s Proposal for Delayed Payment
In a court filing on Sept. 4, Ripple’s lawyers said the SEC had agreed to delay the payment. They suggested that Ripple deposit 111% of the judgment amount, around $139 million, into a bank account. This would be held until 30 days after the deadline to appeal, or until any appeal is resolved.
This move indicates that the SEC might be preparing for an appeal. Ripple’s CEO, Brad Garlinghouse, had previously called the decision a “victory for Ripple.” The company’s chief legal officer, Stuart Alderoty, also expressed their intention to comply with the $125 million fine.
However, at the time of writing, Judge Analisa Torres had not yet approved the request. If the SEC decides to appeal, the case could continue, despite being first filed in December 2020. Under the court’s rules, either side has 60 days to file an appeal in cases involving a U.S. agency.
Background of the Case
The SEC accused Ripple of using XRP as an unregistered security to raise funds, initially targeting Garlinghouse and Ripple’s executive chair, Chris Larsen. In July 2023, Judge Torres ruled that XRP was not a security when sold programmatically on exchanges, marking a significant point in the case.
