• Former SEC Director Marc Fagel believes that XRP investors do not have a chance of winning their lawsuit against the SEC.
• This opinion is based on current legislation, and any attorney who files such a suit could face penalties.
• Despite this, XRP investors remain confident in their ability to pursue legal action.
XRP Investors File Lawsuit Against SEC
An exchange between former Regional Director of the Securities and Exchange Commission’s (SEC), Marc Fagel, and an XRP community member has revealed Fagel’s skepticism about the potential for XRP investors to win a lawsuit against the SEC.
Legal Dilemma for XRP Investors
Fagel asserted that any such case would be doomed to fail under current legislation and also suggested that any attorney considering filing such a suit would run the risk of facing penalties, given the facts currently available. Despite this warning from Fagel, XRP investors remain confident in their ability to pursue legal action with around 75,000 members ready to stand behind them.
Legal Outcomes and XRP Trading
Another Twitter user posed a hypothetical scenario where a judge rules that previous sales from 2014 to 2019 were securities offerings but with current utility, XRP could no longer be classified as such. They asked whether there would then be restrictions on how people can trade or use it – to which Fagel responded that even if it were determined that those prior sales constituted securities offerings, it would not necessarily affect how digital assets are treated today or going forward.
Conclusion
Despite remaining unconvinced by potential lawsuits from XRP investors against the SEC, Fagel acknowledged the possibility of attorneys who may be willing to take on such cases despite knowing they will likely fail under current law. He also commented on how rulings regarding prior sales as securities offerings may not necessarily affect perceptions or regulation of digital assets moving forward.