In the past few weeks, Ripple (XRP) has experienced a positive momentum following a favorable ruling in the SEC case. However, recent statements made by Congress members have the potential to overshadow this progress.
The optimistic trajectory of Ripple’s developments may be affected by these recent statements, causing some uncertainty among investors and market participants. Congressman Lynch recently retaliated against the SEC’s allegations of imposing regulation through sanctions, claiming that the SEC “half-won” the case against Ripple. He later noted that the SEC’s recent legal actions were clear due to guidelines applied to cryptocurrency companies.
Furthermore, SEC Chairman Gary Gensler stated that out of the 131 cases filed, including the one against Ripple, the SEC won 130 and a half cases. Judge Analisa Torres issued a ruling on July 13 stating that XRP was not considered a security during its public sale on cryptocurrency exchanges. However, the judge also ruled that XRP could be considered a security when sold to institutional investors.
In response to this ruling, the SEC used its ongoing case against Terraform Labs’ founder Do Kwon on July 21 to express its dissatisfaction with the decision. The SEC also stated that it could appeal the split decision at a later stage. This development added more uncertainty to XRP’s regulatory status and could have potential implications for the future of the cryptocurrency. Ripple’s Chief Legal Officer Stuart Alderoty dismissed concerns about a potential appeal by the SEC regarding the significant Ripple ruling earlier this month.
Alderoty believed that if the SEC decides to appeal, it could further strengthen Ripple Labs’ partial victory in court. This demonstrates Alderoty’s confidence in achieving more positive outcomes in ongoing legal proceedings. Only time will tell how these events will ultimately impact XRP in the long run. At the time of writing, XRP was trading at $0.713 after witnessing some positive movements in the past few days. Additionally, XRP saw growth in the number of token holders during this period.
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