Blockchain-based file-sharing and payment network LBRY to Appeal SEC Ruling

Introduction

Blockchain-based file-sharing and payment network LBRY has decided to fight a federal judge ruling in July that sided with the Securities and Exchange Commission (SEC). The company has filed a notice of appeal to the United States Court of Appeals for the First Circuit, seeking to appeal the final judgment entered on July 11.

Background

The SEC first sued LBRY, Inc. in March 2021, claiming that its LBRY Credit token (LBC) was sold as a security under the 1933 Securities Act. The U.S. District Court for the District of New Hampshire granted the SEC’s motion for summary judgment against LBRY on Nov. 7, ordering it to pay a civil penalty and barring it from participating in unregistered offerings of crypto asset securities in the future.

LBRY’s Decision to Appeal

LBRY has filed a notice of appeal to the United States Court of Appeals for the First Circuit, challenging the final judgment entered on July 11. The company is determined to fight the ruling and reverse the decision made by the federal judge.

Change in Course

LBRY’s decision to appeal the ruling indicates a possible change in course for the company. This move comes at a time when several high-profile crypto industry players, including Ripple and Grayscale, have achieved victories against the SEC.

Conclusion

LBRY’s appeal to the United States Court of Appeals for the First Circuit shows the company’s determination to challenge the SEC ruling. It remains to be seen how the court will respond to LBRY’s appeal and whether it will reverse the earlier decision made by the federal judge.