A Landmark Decision
In a landmark decision that has sent shockwaves through the crypto world, Ripple Labs has emerged victorious in a case brought forth by the Securities and Exchange Commission (SEC). On July 13, Judge Analisa Torres of the United States District Court in the Southern District of New York ruled in favor of Ripple Labs, declaring that the XRP token is not a security.
The SEC Lawsuit
The SEC lawsuit, dating back to 2020, sought to compel Ripple to cease offering its XRP token under the premise that XRP was a security and thus required additional regulation. However, Judge Torres granted summary judgment in favor of Ripple Labs, effectively dismissing the SEC's claims.
Immediate Market Impact
This victory for Ripple Labs has had immediate effects on the crypto market. Within minutes of the news breaking, the price of XRP catapulted from $0.45 to $0.80, marking an increase of over 70%.
The Ongoing Case
The case against Ripple has been ongoing since December 2020, when the SEC sued Ripple and its two chief executives, Brad Garlinghouse and Chris Larsen, over allegations the company was offering an unregistered security. The case has seen its fair share of dramatic intrigue, including the release of the “Hinman Documents” and ongoing defiance in the face of the SEC’s accusations from Garlinghouse.
Crypto Community Rejoices
This victory for Ripple Labs and the subsequent surge in XRP's price has been met with jubilation across the crypto community.
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