Ripple CTO Discusses SEC Appeal and Potential Filing Error

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David Schwartz, Ripple’s Chief Technology Officer, has weighed in on the heated discussion surrounding the U.S. Securities and Exchange Commission’s (SEC) recent appeal-related actions against Ripple. The controversy stems from the SEC reportedly missing its deadline to file an appeal in the case against the blockchain company, which left XRP supporters puzzled. Many are now questioning the SEC’s next steps and the impact on Ripple.

Missed Deadline Confusion

Schwartz confirmed that the SEC had until noon yesterday to submit an appeal to the Second Circuit Court of Appeals. Although not an appellate procedure expert, Schwartz speculated that the financial regulator did not intentionally miss the deadline.

He emphasized that SEC experts understand the process and court rules well. However, Schwartz didn’t entirely rule out the possibility that the SEC deliberately chose not to meet the filing deadline.

I would think so. It's not impossible that they deliberately blew a filing deadline to end their appeal, but that does seem like a really bizarre move.
— David "JoelKatz" Schwartz (@JoelKatz) October 17, 2024

He noted, “It seems like a really bizarre move,” if that was the case. His comment left the XRP community and industry experts questioning the potential implications for the case.

New Information Reveals Extended Deadline

In a surprising twist, Fox Business journalist Eleanor Terrett pointed out that the actual deadline for the SEC’s appeal might fall on October 18—tomorrow. Terrett’s statement came after a docketing notice in the Second Circuit Court revealed key details.

Although the SEC initially filed its notice of appeal on October 2, it wasn’t officially docketed until October 4. This procedural nuance means the SEC must complete and return an appeal form within two weeks of the docketing date.

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Adding to the confusion, Marc Fagel, a former SEC director from San Francisco, commented on the situation. Fagel suggested that the SEC might have made a procedural error.

In any event, if they did screw up, it’s just that; this is not the SEC walking away from the appeal. And it’s not like we don’t know the basis for the appeal that will eventually be in the Form C.
— Marc Fagel (@Marc_Fagel) October 17, 2024

He pointed out that the docketing notice related to an acknowledgment, and while some deadlines can be adjusted, the Form C filing deadline seems firm. Fagel remarked, “If the SEC messed up, I’d love to witness the internal discussions… but nobody seems to know for sure.”