A federal judge has ruled that the US Securities and Exchange Commission (SEC) must enable Ripple to access emails concerning a 2018 speech about Ethereum.
SEC’s original argument was that those documents were privileged and therefore should not be made available to Ripple.
However, the court battle between Ripple and SEC rages on as the judge on Thursday sided with the crypto company.
The emails are important because they are expected to confirm that former SEC official, William Hinman, claimed that Ethereum was not a security because of its decentralized nature.
This has been one of the strongest arguments Ripple has landed against SEC’s claim that it carried out an unregistered security sale of its XRP token.
Ripple focused no small effort in trying to obtain key letters by Hinman in order to prove that XRP was indeed not a security and shut down the case brought against it by SEC. SEC has naturally tried to foil those attempts.
The Thursday ruling will allow Ripple to access and use in a court of law many documents and letters, including by SEC crypto expert Valerie Szczepanik.
They could prove SEC’s own duality in its approach to cryptocurrencies and prove that Ripple Labs’ activity does not equate to a securities offering.
While Judge Sarah Netburn agreed that certain SEC documents were privileged, the decision has given Ripple access to enough documents to pursue a stronger defense.
Ripple may use this new information to both shut down SEC’s legal challenge and pressure the government agency into creating clearer frameworks that regulate the sale of crypto in general.
However, this does not mean that SEC will give up on trying to prove that the XRP token, which Ripple Labs sold, is a security. This is the second time that Ripple won access to various documents that were previously denied.