The XRP lawsuit continues to cast a shadow over Ripple's ability to restart institutional sales, despite recent progress.

Ripple has recently withdrawn its cross-appeal in the legal battle with the SEC, leaving the status of the injunction that has halted its sales up in the air.

The legal battle between the SEC and Ripple continues to make headlines, with recent developments focusing on the status of the injunction that has halted institutional sales of XRP.

While the possibility of the injunction being lifted could pave the way for Ripple to resume selling its token to institutional investors, legal experts are discussing the compliance conditions that would follow.

Weighing In On Ripple’s Options

Among those offering their legal perspective is XRP attorney Bill Morgan, who addressed the matter on X, stating that even if the injunction were removed, Ripple would still need to alter its approach to institutional sales.

This adjustment is linked to a previous ruling by Judge Analisa Torres, who had determined that Ripple’s original method of selling XRP to institutions constituted an investment contract.

The implications of this ruling are still being debated among legal experts, with some arguing that Judge Analisa Torres’s ruling on how Judge Analisa Torres viewed Ripple’s token sales could pose difficulties for crypto firms selling their tokens to institutional investors.

The uncertainty surrounding Ripple’s future in this area has sparked considerable discussion, especially following Ripple CEO Brad Garlinghouse’s confirmation that the company had abandoned its cross-appeal against the SEC.

While some believe that the lack of cross-appeal could lead to the lifting of the injunction and the resumption of institutional sales, others argue that the company would need to adjust its activities to comply with securities laws.

For instance, Rispoli explained that if Ripple were to sell XRP to a hedge fund, it would fall under the umbrella of a "private offering" and be legal. However, selling through an over-the-counter (OTC) desk to multiple investors wouldn’t be compliant.

"If the bastards weren't sued by the SEC for selling unregistered securities, would they be acting unlawfully? Interesting question on Friday morning. I'd love to hear thoughts. #law #legal #crypto #legaltech #fridaymorning thoughts," Rispoli stated.

The legal drama continues to unfold, with experts like Morgan and Rispoli offering their insights into what could happen next. As the case progresses, the XRP community remains on edge, awaiting the implications of this landmark case on the broader crypto landscape.