The crypto world has seen some rapid growth and changes in the recent years where the world has embarked on what can best be termed as the mass adoption of crypto currency. However, this journey has not been as smooth as it should be and has been marred with some irregularities many of which have resulted in lawsuits and other cases. One such lawsuit in the crypto is the XRP Ripple lawsuit price sec appeal which is what this text is going to explore.
The text is going to explore the inner details of the XRP Ripple lawsuit price sec appeal and provide with some of the details regarding the lawsuit that you do not. The details in the text also take a look at other details regarding the appeal which you might find interesting.
The Details of the XRP vs. Sec Lawsuit
The XRP lawsuit is quite complex and to understand you need to have some knowledge of the U.S securities exchange. The lawsuit started when the U.S securities exchange sued ripple labs back in 2020. The SEC accused the XRP of being a security. Being this way, the Ripples sale of the XRP amounted to the unregistering of the securities offering.
A Mixed Ruling in the Lawsuit
In the year 2023 July to be precise, a judge made a ruling stating that XRP sales to institutional investors were considered security offering. However, the same court argued that the sales to retail investors were not. This ruling at the time of its making breathed some life into Ripple and gave it some slight victory.
The Appeal on the Ripple Ruling
While the grand ruling on the XRP Ripple lawsuit appeared to give Ripple some green light and some joy, the joy was short lived and here is why. The XRP uncontended with this ruling moved to court very fast challenge the decision. The body was left dissatisfied one particular part of the ruling which classified the XRP sales to retail as not being securities. XRP further argue that the promotional efforts put in by Ripple resulted in XRP being an investment contract which extended all the way to retail buyers.
The Ripple Stance on the XRP Ripple Lawsuit Price Sec Appeal
While Ripple has heard all the arguments regarding its case with the XRP from the beginning to the end. It is unfazed with the recent appeal by the XRP. In its response, Ripple argues that XRP itself is not a security making all the arguments by SEC baseless and not even deserving of any attention by anyone.
The Impact of the XRP Ripple Lawsuit on the XRP Price
The ongoing appeal on Ripple carries great possible consequences likely to come in the days to come. Here are some of the notable consequences on the XRP price should this appeal go through:
A Positive Scenario Coming From the Appeal
The XRP Ripple appeal carries great potential which are both positive and negative. One of the positive likely outcomes from the appeal is the possibility of the SEC either withdrawing the appeal or losing it in court. Should it happen this way then that will mean great good news for the XRP which will effectively do away with the regulatory uncertainty surrounding the XRP which will consequentially result in increased adoption as well as price appreciation. There are even experts who argue that should it happen this way then the XRP will go ahead to surpass its all-time high.
A Negative Scenario
Whereas there is a possibility of a positive scenario out of this appeal, there is also another possible negative scenario. For instance, if the SEC goes ahead and wins the appeal as they hope, that will effectively mean some bad news for the XRP. This decision should occur or come across could reaffirm the long held SECs view which has always been that the XRP is a security. If it turns out this way then the decision will attract further scrutiny on the XRP which might result in the delisting of the XRP from exchanges which will more than likely increase the pressure on the XRP price.
Immediate Uncertainty
While the above mentioned possibilities lie on the outcome of the XRP Ripple lawsuit appeal, the immediate impact of it is the issue of uncertainty which is already showing its face at the moment. One of these uncertainties is the already showing with the XRP price already being too volatile. The investors are already waiting for clarity on this issue and further information on the XRP regulatory status before committing to any decisions.
Final Thoughts
The current XRP Ripple appeal carries great significance. Its outcome is likely to affect the XRP price like it is already doing. The appeal decision when it is made eventually will have some consequences on the XRP both negative and positive.