$XRP Skyrockets as a Federal Judge Declares It Not a Security, Marking a Major Win for Ripple
Major Crypto Exchanges Relist $XRP, As Token Value Surges 60% Following Landmark Court Ruling
TL;DR: A New York District Court has delivered a partial verdict in the high-profile case between the SEC and Ripple Labs, affirming that Ripple’s $XRP is not a security. $XRP saw a surge of 60% in value following the court ruling, while major cryptocurrency exchanges, including Coinbase and Kraken, have promptly relisted $XRP for trading.
In a landmark ruling that has sent ripples* through the global cryptocurrency landscape, Ripple Labs Inc., the company behind the digital payment protocol and the $XRP token, has scored a significant victory in its legal battle with the U.S. Securities and Exchange Commission (SEC). The market reaction was swift, with $XRP value surging by an impressive 60% following the announcement.
The U.S. District Court for the Southern District of New York has put to rest the longstanding debate over the status of Ripple’s $XRP. The court stated that $XRP does not qualify as a security, a decision that has not only dispelled the uncertainty over Ripple but also marked a major triumph for the broader crypto industry.
In a swift response to the ruling, several major cryptocurrency exchanges, including Coinbase and Kraken, have reinstated $XRP for trading. The relisting of $XRP, which was widely delisted following the SEC’s charges, signals renewed market confidence in the token.
The SEC had brought a lawsuit against Ripple and two of its senior executives, accusing them of conducting an unregistered securities offering through the sale of $XRP. However, the court’s ruling underscored the distinctive nature of XRP and set a precedent that could influence future regulatory approaches towards cryptocurrencies.
The market’s positive reaction to the ruling, as evidenced by the $XRP price surge and the quick relisting on major exchanges, indicates the potential of this decision to stimulate growth in the crypto industry by providing much-needed regulatory clarity.
The Ripple case, which has been closely watched by industry insiders and crypto enthusiasts alike, will likely serve as a guide for similar legal challenges faced by other cryptocurrencies. As the dust settles on this groundbreaking court decision, the ripple effects on the digital asset world are beginning to emerge, potentially paving the way for a new era of crypto innovation.