Key Points
- SEC files an appeal in the ongoing Ripple lawsuit, challenging the previous court ruling.
- XRP experiences short-term volatility, dipping 0.99%, but shows a 2.56% weekly gain.
- Ripple’s Chief Legal Officer emphasizes that XRP is still not classified as a security.
- The lawsuit’s outcome could significantly impact U.S. cryptocurrency regulation.
It seems that once again the Ripple lawsuit is in the spotlight after the U.S. Securities and Exchange Commission (SEC) appealed the 17th of October 2024.
This is not just the case for Ripple Labs, but it might have far-reaching consequences in respect of policies governing how cryptocurrencies in America are regulated.
The Ripple lawsuit has interested the societies of both investors and regulators, being able to change the way the SEC exercises its authority over the asset class.
As this battle drags on, the XRP token has experienced a reactionary response in the market, being depicted by wide swings as traders seek to price what might happen next in this saga.
US SEC files appeal in Ripple case: XRP sees mixed market reaction – AMBCrypto https://t.co/RpwknvrDkn
— MindFrozenTime #BTC #Bitcoin (@mindfrozentime) October 18, 2024
Ripple Lawsuit – SEC Appeals While Investors Wait
The Ripple lawsuit was affected rather notably after the SEC provided its statement in ‘Civil Appeal Pre-Argument Statement’ (Form C). This was after the agency had missed its earlier deadline of October 16 and seemed to create waves in the crypto community.
Many wondered if the time spent on such an issue meant that settlement talks were underway or that it was simply an administrative error.
The SEC confirmed that its Notice of Appeal contains issues with the judgment rendered by Judge Analisa Torres, particularly on the question as to whether the XRP can be termed as a security.
This resolution has potential ramifications not only for Ripple as the company, but the entire cryptographic money ecosystem.
With this stage of the legal battle proceeding to the Second Circuit Court of Appeals, the XRP lawsuit will remain an important issue on how crypto regulation will be formulated in America.
The Effect of Ripple Lawsuit on the price of the XRP
The damage and drama arising from the Ripple lawsuit have seen XRP price movement go both ways in the investing markets. Immediately following the SEC restitution appeal on its Notice of Appeal, it was reported that on CoinMarketCap, XRP had lost about 0.99% of its value, trading at $0.5499.
While it is still pretty remarkable, this decline brings with it the expectation for further sell-offs, which has not happened given that the weekly delta for XRP still maintains gains of 2.56%, indicating generous expectations in the token/currency’s long-term outlook.
The Waves of uncertainty brought about by the Ripple lawsuit have subsided as the rest of the cryptocurrency space still keeps a positive outlook.
Alderoty, the chief legal officer at Ripple, acknowledged that this is a supportive situation because, while the SEC disagrees with an unappealed judgment that XRP is not security, they are in a position to allay concerns.
His remarks supported the usual appeal, which Ripple is making in the context of the current dispute which is critical for the whole crypto-ecosystem.
The performance of XRP is being keenly monitored in light of the Ripple lawsuit, which is moving ahead, by investors as well as regulators. This determination may have significant implications for how other crypto-assets are managed in the United States.
As XRP continues to show strength despite the legal battle, the coming months will be crucial for Ripple and the entire crypto market too.
