According to the court schedule, the SEC, Ripple, and any third parties must file letter briefs opposing the omnibus letter motions by May 20.
The parties must file redacted versions within 14 days of the court ruling on the omnibus letter motions. More significantly, the court will also begin deliberating on the penalty Ripple must pay for breaching US securities laws and whether an injunction is appropriate.
In March, the SEC presented its case for an almost $2 billion penalty and an injunction prohibiting Ripple from selling XRP to institutional investors. An injunction would affect Ripple’s expansion plans in the US following the Programmatic Sales of XRP ruling.
Prohibition of XRP sales to institutional investors could influence buyer demand for XRP. A successful SEC appeal against the Programmatic Sales ruling may also adversely impact XRP.
Investors expect the SEC to file an appeal against the Programmatic Sales of XRP ruling after the Ripple case. Uncertainty about the outcome of the Ripple case and likely appeal remain XRP headwinds.
On Wednesday (May 15), XRP trailed the broader market. The total crypto market cap surged 6.38% ($139.47 billion) to $2,326 billion as investors reacted to US retail sales numbers and the US CPI Report.