Former Ripple CEO Sean McBride recently spoke out about the ongoing Ripple-SEC case and suggested a resolution could be coming soon. When asked if he thought the SEC would reach a settlement with Ripple soon, McBride responded on social media, stating that the case should either be dismissed or settled within a week. He explained that while there are nuances to both options, he believes a settlement is more likely than a dismissal.
McBride shared his view that Ripple, as well as its executives Brad Garlinghouse and Chris Larsen, deserve compensation, and that a settlement would provide a more detailed solution than a simple dismissal.
The former executive went on to say that Ripple and its executives flipped the script on the SEC, meaning they turned the situation in their favor. He also speculated that if the case were dismissed, Ripple could sue the SEC for damages. However, if the case is settled, he believes the details will likely be resolved through private negotiations or “back channels,” which could involve promises from the new administration.
Legal experts weigh in
Marc Fagel, a former SEC attorney, responded to McBride’s comments, explaining that a countersuit would likely not succeed, especially since the court had already ruled that Ripple had broken the law. He also pointed out that SEC settlements are always made public, so a “back-channel” solution would be unlikely. Fagel concluded by saying the case is not expected to be resolved within a week.
Attorney Bill Morgan also opened up about a settlement, writing: “A settlement should have to do with Ripple’s cross-appeal. The important point is that Judge Torres’ finding that XRP is not a security is not in dispute, come what may.”