Judges in the Southern District of New York Divided on Whether a Token Is a Security: SEC v. Terraform Labs and SEC v. Ripple Labs

Key Point – Just shy of three weeks after Judge Torres held that the digital asset XRP is not itself a security,1 Judge Rakoff held that the SEC had adequately pled that certain digital assets, such as the UST and LUNA coins, are securities, reflecting divergent approaches that courts are taking towards regulation of digital assets.2…
By: Akin Gump Strauss Hauer & Feld LLP