According to Cointelegraph, the United States Securities and Exchange Commission (SEC) is proceeding with its enforcement actions against Ripple, despite impending changes in its leadership. On January 14, Ripple's Chief Legal Officer, Stuart Alderoty, announced that the SEC would not delay filing a brief in its appeal against a judgment involving the blockchain company. In August, a judge ruled that Ripple was liable for $125 million, accusing the firm of using XRP as an unregistered security to raise funds.
Alderoty criticized the SEC's actions, describing them as a "waste of time and taxpayer dollars." However, he expressed confidence in Ripple's position on appeal and anticipated working with the new SEC leadership to resolve the issue. Ripple CEO Brad Garlinghouse supported Alderoty's statement, suggesting that the SEC's approach to cryptocurrency enforcement might shift following the inauguration of President-elect Donald Trump on January 20. Trump had previously promised to dismiss SEC Chair Gary Gensler, who is set to resign on the same day.
The civil case against Ripple, initiated in December 2020 during Trump's first term under SEC Chair Jay Clayton, is moving to an appellate court following the August 2024 decision. The SEC is appealing a ruling where a federal judge determined that the XRP token did not necessarily qualify as a security. Alderoty noted that Ripple's appeal would not address this aspect of the judgment. It remains uncertain whether the next SEC head, whom Trump intends to nominate as former commissioner Paul Atkins, will continue the case against Ripple, pending Senate approval.
Alderoty has personally contributed over $300,000 to fundraising and political action committees (PACs) supporting Trump. Additionally, Ripple has donated $45 million to the Fairshake PAC, which spent more than $100 million on media campaigns backing "pro-crypto" candidates in the 2024 election cycle. Following the November 5 elections, Ripple announced an additional $25 million donation to the PAC for the 2026 midterms.
Joy
