The U.S. Securities and Exchange Commission (SEC) has filed an appeal in the ongoing Ripple case, seeking to overturn Judge Analisa Torres' 2023 ruling. Torres had previously determined that secondary sales of Ripple's XRP did not qualify as securities, a decision celebrated by the crypto industry. The judge's reasoning was that XRP did not meet the conditions of the SEC’s Howey test, which defines what constitutes a security.

While Ripple was cleared on secondary sales, Torres did acknowledge that early sales to institutional investors were indeed securities. The appeal represents the SEC’s continued effort to classify certain crypto transactions as securities, leaving the industry in a state of uncertainty.

On the same day, the SEC’s chief enforcement officer, Gubir Grewal, announced his resignation, effective Oct. 11, 2024. Grewal has been known for his strict enforcement actions against the crypto sector, with over 100 cases during his tenure. Deputy Director Sanjay Wadhwa will take over in the interim as the SEC searches for a permanent replacement.

In another notable development, Bitwise has filed for an XRP ETF trust in Delaware, sparking interest in the crypto asset. However, with the SEC’s appeal in motion, approval for the trust might face delays.

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