Ripple Throws Shade at SEC in Coinbase Case: Tough Questions Hint at Rocky Road Ahead

Ripples' top lawyer, Stuart Alderoty, isn't holding back his punches. Following the SEC v. Coinbase hearing, he blasted the agency's approach to crypto regulation on social media. In the case, which hinges on whether Coinbase sold unregistered securities, Alderoty argues the SEC fixates too much on "investment effort" and ignores the crucial element of a "common enterprise."

The courtroom drama wasn't limited to Twitter spats. Judge Failla peppered the SEC lawyer with tough questions about tokens like Solana and Cardano. Her response? Simply labeling them "computer code." This frosty exchange suggests the judge might not be entirely sold on the SEC's arguments.

Next up: Judge Failla takes on Coinbase in the hot seat. If she dismisses their motion to toss the case, get ready for the discovery phase, where both sides go digging for dirt. Once that's done, the SEC and Coinbase can throw down the gauntlet with summary judgment motions. Buckle up, folks, this legal tug-of-war is just getting started.