In an unexpected twist worthy of a courtroom drama, Judge Analisa Torres has granted the SEC’s request to file for an interlocutory appeal in the case against Ripple Labs. Spoiler alert: this won’t be wrapping up anytime soon.

What’s an Interlocutory Appeal Anyway?

For those scratching their heads, an interlocutory appeal allows one party to appeal a ruling while the rest of the case is still in the oven. In this scenario, the SEC is tossing in their request like a last-minute ingredient before the casserole burns. They must file their motion by August 18, and Ripple? They get to clap back with an opposition. It’s a thrilling legal standoff!

Ripple’s Response: Chill Out, SEC

Ripple Labs isn’t taking this lightly. Their legal team raised three main arguments against the SEC’s fancied appeal:

• Pure Questions of Law: Ripple says an appeal needs to involve new legal issues. Apparently, they think the SEC just brought them a stale bag of popcorn instead.
• Insufficient Claims: Ripple argues that claiming a wrong ruling isn’t a strong enough reason to appeal—like trying to return a t-shirt that obviously shrunk in the wash.
• Delay, Delay, Delay: The Ripple folks believe that triggering an immediate appeal doesn’t help anyone in moving this litigation along any faster.

Brad Garlinghouse Speaks Out

In a turn of events that would put any soap opera to shame, Ripple CEO Brad Garlinghouse took to social media to express his disbelief at the SEC’s ongoing claims. He insists that the basic concept of XRP’s legality isn’t even up for debate:

“Reminder – the request for appeal (even if granted) doesn’t change the fact that XRP is not a security. That’s not up for debate / trial… utter nonsense.”

The Heart of the Matter

Confused yet? Let’s break it down: back on July 13, Torres ruled that XRP is not a security when handed out in public sales, but gets a different label when sold to institutions. Talk about complicated! This case goes way back to December 2020 when the SEC decided to crash Ripple’s party over allegations of offering an unregistered security. And here we are—still partying, and the music’s only getting louder.

The Long Road Ahead

Garlinghouse isn’t worried, though. In recent chats with the press, he confidently stated, “The law of the land right now is that XRP is not a security.” This legal epic isn’t going away anytime soon, likely taking years for the SEC to do its appeal shuffle. Until then, Ripple seems to be riding the optimism train all the way to the station!