Close
The dispute between the U.S. Securities and Exchange Commission (SEC) and Ripple has taken a new turn when financial regulator specialists said that the prices of Bitcoin and Ethereum impacted XRP 90% of the time.
Crypto lawyer Bill Morgan tweeted a screenshot of the statement, pointing out that it refutes the SEC’s assertion that Ripple’s efforts were to blame for the performance of XRP.
He contends that the claim that Ripple controls the price of XRP is untrue since other cryptocurrencies typically follow the trend of Bitcoin.
He also pointed out that the SEC had alleged in its move for summary judgment that Ripple had taken a number of actions to promote the price of XRP. The regulator merely sought to demonstrate that XRP buyers and holders anticipated to profit from Ripple’s efforts, thus it did not demonstrate that the action was successful.
Morgan did, however, add that the SEC could be right in saying that investors depend on Ripple’s work. But the endeavor is not the commercial activities or XRP sales.
Instead, it is the legal defense the business is putting forward to counter the SEC action. Not the type of efforts the court had in mind in the Howey case, Morgan said.
Jeremy Hogan, a pro-XRP lawyer, has offered his perspective on the recent development. He said that if the court wanted to “split the baby,” she may decide that any XRP sales made since mid-2018 are not securities.
This is due to the SEC expert’s prior admission of guilt. Given that it is now obvious that XRP is not a security, it may imply that Ripple would merely pay a small fine and carry on with operations. Added him:
By the end of the year, Coinbase could only be offering XRP and Bitcoin.
The SEC and Ripple lawsuit, which has been ongoing since late 2020, is now much more dramatic as a result of the latest information.
Many people anticipated the case would go on for a very long time because the forecast that the court will rule on the summary judgment motion by March 31 had not come true.
Hogan thinks that, depending on the judge’s decision in the present case, the litigation may go into 2026. According to him, any appeal might take the matter all the way to the Supreme Court because the parties have the right to challenge any judgment made.
According to BeInCrypto statistics, XRP is currently trading above $0.51 for the second time this week after increasing by 0.53% in the previous day.
The digital asset outperformed other leading digital currencies like Bitcoin, Ethereum, and Cardano, which each had gains of about 20% over the past 30 days, rising 31%.
In the meanwhile, data from Lunar Crush shows a sharp decline in XRP’s social dominance from its recent highs.
