This is not yet the epilogue of the case brought before the American courts between Ripple and the SEC. But Ripple has just won an important battle. Indeed, the Securities Exchange Commission is forced to provide the “Hinman” documents; which these documents should allow Ripple to justify that its native crypto XRP was not a security under the SEC.
The Hinman documents: the key to ending the legal battle between Ripple and the SEC?
The lawsuit between Ripple and the SEC could soon switch in favor of Ripple. Indeed, the SEC which is a financial regulatory body in the United States was finally forced to hand over important documents to the court named the “Hinman documents” which will likely help Ripple in its legal battle.
As a reminder, the SEC had taken legal action against the company Ripple, which it accused of applying illegal procedures in its management of XRP. Thus, since the court was seized to decide this case, Ripple has always denied the accusations.
This is how Ripple and its lawyers brought new exhibits to the case called the “Hinman” documents. These are statements made by William Hinman, a former SEC agent who said internally that electronic currencies or cryptocurrencies like bitcoin and Ethereum (therefore XRP) were not securities.
This is a real twist in this case, because it is precisely on this legal basis that the legal action was brought against Ripple to a large extent.
We understand better why the Securities Exchange Commission was opposed to the handing over of these documents requested by the opposing party… It therefore took the intervention of the judge to force the SEC to hand over these documents to the court so that all the light could be shed. on this case.
In addition, you can also consult our guide: How to mine Ripple? Discover in this guide how Ripple XRP works, its difference with other crypto-currencies, as well as the method to adopt for mining Ripple.
Hinman documents that question the role of the SEC in the crypto market
Since the beginning of this case, Ripple has always maintained that its cryptocurrency XRP is not a security contrary to the legal qualification of the SEC. Thus, this crypto would rather be, according to Ripple, a commodity that should not be subject to the latter.
On a political and legal level, the court’s final decision in this case could have an impact on the role of the SEC in the supervision of cryptocurrencies.
Similarly, SEC Chairman Gary Gensler could lose influence in implementing regulatory authority over the cryptocurrency market through the SEC to make way for crypto regulation by the US Congress.