The SEC is seeking to overturn a ruling made in July 2023 by a court in the case against XRP-issuer Ripple Labs.
On Wednesday, the SEC submitted a notice of appeal to the Second Circuit Court of Appeals in Manhattan.
Ripple Labs’ chief legal officer Stuart Alderoty expressed disappointment at the decision but also noted that they were prepared to defend against the SEC’s “irrational and misguided” lawsuit in the appellate court.
US District Judge Analisa Torres has previously found that Ripple violated federal securities law through sales of XRP to institutions, but not through sales to retail exchanges.
In August, Judge Torres ordered Ripple to pay a $125 million fine, significantly lower than the SEC’s original request of $2 billion in disgorgement and penalties.
