The sixth most valuable crypto by market value is enjoying decent price gains amid sell offs notably seen among many altcoins, amid strong positivity with Ripple’s legal battle with SEC.
At the time of writing this report, XRP was up nearly 7% trading at near 80 cents with its market value pegged at over $37 billion.
Investors are bullish on the crypto, despite long-running litigation with the Securities and Exchange Commission (SEC), as Ripple’s CEO Brad Garlinghouse is increasingly optimistic that the company will win its long-running case.
Ripple’s defence in the ongoing case is doing better than expected, Garlinghouse stated on the main stage at Paris Blockchain Week on Thursday.
“Everything has gone much better than I imagined it would when we began the lawsuit about 15 months ago,” he said.
What you should know
- Brad Garlinghouse and Christian Larsen of Ripple were sued by the SEC in 2020 for selling unregistered securities in the form of XRP.
- RippleNet community lawyer announced recently that the company secured a “very big victory” over the SEC following Presiding Judge Sarah Netburn’s decision not to allow documents to be shielded under privilege.
- William Hinman, former director of the SEC, is quoted as saying that Bitcoin and Ethereum are not securities in the documents.
- “This case is critical to the entire crypto market in the United States, not just Ripple,” Garlinghouse said.
- If Ripple loses the case, he said, it may set a precedent that many tokens on cryptocurrency exchanges will be recognized as securities by the SEC.
- The SEC can force exchanges to register with them as brokers, and they would be required to register the identities of all token holders.
- “If XRP is determined to be a security of Ripple, we need to know who owns it,” he said. It is a requirement of the Securities and Exchange Commission. Every shareholder must be known. There is no way around it. That being said, the SEC’s aggressive pursuit of the crypto industry could be put on hold, if Ripple defeats the SEC.