On October 2, just one hour after SEC Enforcement Chief Gurbir Grewal announced his resignation, the Securities and Exchange Commission (SEC) filed an appeal with the United States Court of Appeals for the Second Circuit, contesting the Southern District of New York's August decision that imposed a $125 million penalty on Ripple Labs, Inc.
The SEC's appeal highlights the ongoing legal proceedings between the federal regulator and Ripple.
"If Gensler and the SEC were rational, they would have moved on from this case long ago," Ripple CEO Brad Garlinghouse said.
Garlinghouse further stated that they would "fight in court for as long as we need," underscoring their resolve to defend XRP's operational legality.
In the August judgment, Ripple was ordered to pay $125 million for violations related to the sale of unregistered securities.
XRP experienced a 12% price drop following the SEC's appeal.
The SEC (Securities and Exchange Commission) is a U.S. government agency responsible for regulating securities markets, protecting investors, and ensuring fair, transparent financial practices.