The latest report on the XRP lawsuit against the Security and Exchange Commission (SEC) says that the coin’s price responded favorably a few minutes after the judgment. According to token Metrics, the price of XRP increased by 28.90% to reach almost 60 cents per token (as at the time of judgement).
The favorable court ruling impacted the whole cryptocurrency market, causing significant rises in several other digital assets. While Litecoin and the token connected to Solana saw an 8% rise, Polygon’s matic token saw an 11% increase.
Cardano’s token increased by 7% as well. The more established cryptocurrencies: bitcoin and ether, had increases of 2% and 3%, respectively. Reactions obtained from the XRP online community have the them believing that the judge’s ruling was a significant victory for Ripple and offered hope for a successful conclusion to the legal case.
The SEC claims that Ripple sold unregistered securities through the sale of XRP tokens, which was the central claim in the complaint. This favorable decision has restored faith in the cryptocurrency industry, especially among investors and XRP holders.
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Cryptocurrency Market analyst Siamak Masnavi, while commenting on the Crypto Globe platform, explained that it has provided relief to Ripple, which has been battling the SEC since the regulatory body initiated the action in December 2020.
In the judgment by Judge Torres, the judge resolved that the XRP is not a transaction, contract, or scheme. He explained it met the “Howey requirements” of a proper investment contract. Torres also explained that if the SEC didn’t create an argument proving that the digital assets were sold as investment contracts, the court might be restricted from making such an unproven discovery.
In the words of Judge Torres, “In any case, the SEC does not elaborate on the claim that these XRP sales on the secondary market were offers or sales of investment contracts, particularly given that the money used to fund these transactions could never be linked to Ripple, and the Court is unable to reach such a conclusion.”
Traders, Analysts Keep Watch As The Market Maintains Positive Trends
Analysts at Crypto Globe explained that the dramatic increase in XRP’s value after the judge’s decision illustrates how closely connected judicial actions are to market sentiment. Although the outcome of the legal dispute is still uncertain, Ripple’s recent victory has undoubtedly given the XRP community and the more considerable cryptocurrency industry newfound hope.
As of press time, the price of XRP, according to data from CoinMarketCap, is $0.8786, with an increase of 84.48%. Co-incidentally, the market capitalization rose alongside the price movement: 84.48% to hit $46,164,691,615 in the last 24 hours. It also has a circulating supply of 52,544,091,958 XRP, with a trading volume of 14.68%.