A former high-ranking official of the U.S. Securities and Exchange Commission (SEC) believes that the recent ruling in the regulator’s lawsuit against Ripple may be overturned on appeal. The official argues that the decision establishes a class of quasi-securities that can change its designation based on the buyer’s level of sophistication. They predict that the SEC will appeal the Ripple decision, and the 2nd Circuit will overturn the District Court’s rulings relating to certain sales. The official criticizes the decision for allowing the same token to be considered a security sometimes but not others, and for providing less protection to retail investors based on their ignorance and lack of disclosure. The content also includes information about cryptocurrency news and analysis.
AI Sentiment: Negative
