XRP continues to show resilience, surging by over 8% in just a few hours. The sixth-ranked token has recently tapped a four-month high as optimism surrounding the Ripple Vs Sec lawsuit grows.
As reported by TronWeekly, XRP’s resurgence was attributed to a supplemental notice sent by Ripple referencing a recent court ruling in a Voyager Digital bankruptcy plan where SEC’s objections were reportedly dismissed.
The case involved Binance.US’ whose rescue plan for defunct crypto lender Voyager Digital was rejected by the SEC including the exchange’s offer to buy Voyager’s native token VGX for $1.3 billion.
The regulator asserted that being an unlicensed exchange, Binance.US cannot sell the security VGX, as per the notice from Ripple.
According to the Ripple letter, the judge not only dismissed the SEC’s objections and approved the bankruptcy plan, but slammed the regulator’s arguments for its “vagueness”.
Additionally, the court noted that the SEC had provided no guidance to show Voyager’s token VGX was not a security.
Besides Voyager, Ripple also filed a Supplemental letter citing a recent U.S. Supreme Court ruling in Bittner v. U.S.
In the Bittner v. US decision, it’s important to note that two of the majority justices defended their position by citing the norm of lenity. It mandates that the court rule in favor of the defendant where the law is unclear.
Ripple’s filing was to bolster its fair notice argument in its legal battle with the United States Securities and Exchange Commission [SEC] over whether XRP is a security.
XRP Lawyer Believes US Court Ruling In The Two Cases Will Boost Ripple
For perspective, Ripple’s fair notice defense argues that it was unable to foresee the SEC’s enforcement action against it because there are no regulations governing the crypto market and former SEC director Bill Hinman has declared Bitcoin and Ethereum to be non-securities.
John E. Deaton, an attorney, and XRP representative who led the initiative remarked that the most recent Supreme Court decision bolstered his confidence that the blockchain firm would prevail if the matter went before the highest court.
In the latest response to the defendants’ letters concerning the two cases, the SEC argued that neither case supports the “fair notice defense” and that Ripple has misrepresented the case.
The agency maintained that it has provided clear guidance that unregistered crypto offerings can violate Sec 5.