LEGAL BRIEFS - SEC DIGS IT'S OWN GRAVE EDITION :)

[HAL1000]

 

[JASCoder]

Woot woot !

He's da man  

[HAL1000]

When you combine JH's vid above with the observation I made on another thread titled:-

Ripple's request for the SEC's Internal Trading Policies is GRANTED.

The essence of the case, ACCORDING TO THE SEC'S OWN FILINGS, is that Ripple, Chris and Brad, should have known XRP was a security. BUT If any SEC employees have purchased or traded XRP, then of course this case has NO MERIT. Simply put, it would instantly make this case worthy of dismal. The SEC can not allege wrong doing in relation to securities law, if its own employees did not even know they may be breaking it, in relation to XRP purchasing or trading, it would be a double standard that stretches incredulity beyond belief =

IMO - CASE DISMISSED

THIS IS AN ANGLE THAT COULD PLAY OUT REALLY WELL FOR RIPPLE ESPECIALLY WITH A SYMPATHETIC COURT AND IT'S FAIR NOTICE DEFENCE, WELL PLAYED RIPPLES LEGAL TEAM

Want to bet Ripple has inside knowledge of what some SEC employees may have been up to!

To put it bluntly, the SEC's case is f***ed, LOL talk about shooting yourself in the foot, OMG this is making me laugh more than I have in years

Edited June 26, 2021 by HAL1000

[JASCoder]

8 minutes ago, HAL1000 said:

To put it bluntly, the SEC's case is f***ed, LOL talk about shooting yourself in the foot, OMG this is making me laugh more than I have in years

The biggest irony with their (SEC's) whole mess, is they brought it all on themselves.

If they'd not been so malicious and vindictive, going after the Directors instead of just the company, and providing some "safe harbor" for the exchanges and American traders, none of this sh*tShow would be playing out.

( I've already stated my suspicions as to why they acted so harshly, so I'll not repeat that )

[Roaring_Twenties]

I'm glad Jay Clayton pulled the trigger on this because now the SEC is continually being exposed for its ineptitude.  It cant turn it off and start over.  Each day the SEC digs itself a little deeper into a hole.  Just like anyone who keeps trying to lie their way out of something, the more they try, the worse it gets. 

Like the Howey test of the 50s, there will likely be some sort of new 20s test wrt crypto as a result of this fiasco.  Ripple and XRP holders pay the biggest price in terms of financial pain and delay but, we at least get to go first and get this over with.  Its not fun today (for many) but the the good news is we've already come so far through this debacle. 

No one has a crystal ball but, fast forward to this time next year I'm sure we're all in a much better position as we'll have all of this nonsense in our rear view mirror.

[RikkiTikki_is_Back]

Man I am wondering if Gensler is now thinking it may be better to settle this and get out from under it.  This is exposing not only deficiencies in this case but could open up a whole can of worms on historical SEC practices and cases.  Social media has just given us insight into what possibly has been long broken.  

[Julian_Williams]

58 minutes ago, RikkiTikki_is_Back said:

Man I am wondering if Gensler is now thinking it may be better to settle this and get out from under it.  This is exposing not only deficiencies in this case but could open up a whole can of worms on historical SEC practices and cases.  Social media has just given us insight into what possibly has been long broken.  

it seems to me that Gensler is keeping his powder dry by saying nothing and letting his lawyers get on with the case started by his predecessor.  I think as these sorts of stories hit the media it will be harder for him to sit on the fence, because in the end he is responsible for what his legal department do.

The second problem for Gensler is that as more and more evidence stacks up against the SEC case the more difficult it will be for SEC to secure a face saving settlement.  Ripple lawyers will smell victory and not want to accept compromise offers or pay excessively large fines.  Losing the case would be catastrophic for SEC because it would in effect make them toothless at the same time as destroying their reputation.

I guess Gensler would like to work on some new radically different way to regulate crypto, and that this case is probably in the way.   His opportunity to be a good chairman of the SEC are slipping away with every new revelation.  This news is  a test of his leadership, so far he has done nothing in public to show he is up to doing the job, but we do not know what he is doing in the background. 

 

Edited June 26, 2021 by Julian_Williams

[PlanK]

57 minutes ago, Julian_Williams said:

I guess Gensler would like to work on some new radically different way to regulate crypto, and that this case is probably in the way.

I'd say he loses nothing in holding his cards, waiting to see which way the wind blows.  Ultimately congress will have the final word, whatever he thinks is right or wrong, means nothing.  If the gubmint stalls, only then does he have to play his hand.  Right now he's been dealt a bunch of low value cards and the best he can do is hold until the rulemakers provide clarity on what the actual rules are in this new paradigm, not the rules according to laws made a century ago.

 

I'm guessing he knew when he took up this position he was receiving a hospital pass.

[HAL1000]

 

https://www.crypto-law.us/hinmans-revolving-door-now-swings-to-andreessen-horowitz/

[Roaring_Twenties]

9 hours ago, HAL1000 said:

 

https://www.crypto-law.us/hinmans-revolving-door-now-swings-to-andreessen-horowitz/

Seems a little shady to be able to do all the different things Hinman does. With great access and power comes the potential for corruption and the ability to protect one’s self from the law. Rather ironic given the mission of the SEC itself.

https://www.crypto-law.us/was-there-corrupt-intent-at-the-sec/

[jbjnr]

19 hours ago, Julian_Williams said:

The second problem for Gensler is that as more and more evidence stacks up against the SEC case the more difficult it will be for SEC to secure a face saving settlement.  Ripple lawyers will smell victory and not want to accept compromise offers or pay excessively large fines.  Losing the case would be catastrophic for SEC because it would in effect make them toothless at the same time as destroying their reputation.

I suspect ripple are too savvy for this. If they win outright against the SEC, then they set a precedent (no fair notice etc), that other cryptos can use against the SEC afterwards. Ripple want/need clarity for XRP, but despite them saying for years that a rising tide lifts all boats, when you get a chance like this to rise on your own - and let the other boat stay in the doldrums - then their best strategy may be to go for a settlement that leaves XRP in the clear, pay some fines, but not set any legal precedent that allows other cryptos to simply cite this case and "get out of jail free".

Best plan (IMHO) = go for a nice settlement and leave all the other cryptos to fight their own battles afterwards. 

[PlanK]

^

That would make cold, hard business sense.  But it's not like it would leave all the other boats beached.  Ripple would have shown it can be done, there are strategies that can be copied, information, though not publicly available, that can be requested.

The thread title: Digging your own grave, is quite apt.

At some point someone at the SEC is going to have to say "Stop digging".  It's easier to rise up from a shallow grave than six feet under.

 

Edited June 26, 2021 by PlanK

[B088IN]

21 hours ago, PlanK said:

^

That would make cold, hard business sense.  But it's not like it would leave all the other boats beached.  Ripple would have shown it can be done, there are strategies that can be copied, information, though not publicly available, that can be requested.

The thread title: Digging your own grave, is quite apt.

At some point someone at the SEC is going to have to say "Stop digging".  It's easier to rise up from a shallow grave than six feet under.

 

The other issue is would other cryptos be able to afford to have a case brought against themselves and survive, even following in the footsteps of a Ripple victory. I feel Ripple having clarity is what both sides would accept instead of a crypto wide clarity. 
It allows the SEC to pick and choose it’s next battle knowing the cost involved and if the opposition could afford to fight. Let’s be honest, out of all the crypto company’s at the moment, Ripple has to be one of, if not the wealthiest to have brought a case against. 
It was always going to be hard and Ripple wasn’t going to be bullied, looks like the SEC wasn’t expecting this to go as long as it has and the repercussions of that are the SEC is starting to looking really weak. 

[RipMcGillicuddy]

WHERE IS THE NEW FILAN TWEET?!?