Ripple lawsuit drags on! "Facts and expert testimony" extended to October, court denies SEC's use of Ripple's business promotion documents.

The Ripple lawsuit has been ongoing for several months and appears far from over. Despite Ripple's efforts to expedite the process, the latest ruling has approved the U.S. Securities and Exchange Commission (SEC) to delay "facts and expert discovery" by two months; at the same time, the court has denied the SEC's request for Ripple to produce past promotional documents.

"Facts and Expert Testimony" Extended to October

In a ruling on 6/14, U.S. District Judge Sarah Netburn extended the deadlines for both parties' "Facts and Expert Testimony" to 8/31 and 10/15 respectively, with the U.S. Securities and Exchange Commission (SEC) claiming the need for more time to study and review relevant documents.

Ripple, on the other hand, strongly opposed this request. Due to this lawsuit, the majority of U.S. and international trading platforms have either delisted or suspended XRP trading. Ripple's liquidity in the U.S. is almost non-existent, leading Ripple to believe that the extension poses a threat to the company's business development in the U.S.

Request for Ripple to Provide Marketing Documents Denied

In a ruling on 6/15, Judge Sarah Netburn denied the SEC's request for Ripple to provide past marketing documents. Netburn stated:

Consistent with prior positions, the company's various marketing activities regarding XRP are distinct from whether XRP is a security. No weight should be given to any arguments regarding the weight of marketing activities over the nature of XRP.

Court Allows Citation of International Exchange Documents

In addition, Sarah Netburn also approved former Ripple CEO Brad Garlinghouse's issuance of international assistance requests to various authorities to obtain accounts and documents related to XRP trading from 16 international exchanges to counter the SEC's claims of XRP sales constituting "unregistered investment contracts" and aiding and abetting violations of securities laws.

The approved exchanges for assistance include well-known international exchanges such as BitMart, Bitfinex, Huobi, Bithumb, Coinone, and OKEx.

Jesse Hynes, General Counsel of Gala Games, stated on Twitter :

While I think Ripple is likely to lose this lawsuit, I am optimistic about the outcome of the prosecution, which may result in a victory for Ripple and the overall crypto industry.

He further stated that Ripple's issuance may be deemed an "unregistered investment contract," but the secondary market is not, indicating that exchanges will relist XRP, and XRP will be available on exchanges outside the U.S., returning everything to normal.