We have turned the page. It’s a new chapter in the cryptoverse. The Securities and Exchange Commission (SEC) in the US has received a ruling from a judge regarding the famous Ripple case, which lasted over two years. Monumental.
Let me summarize what has happened in six steps:
1. In 2020, the SEC claimed Ripple raised over $1 billion through the unregistered sale of XRP as a security.
2. Ripple argued that XRP shouldn’t be considered a security, referencing comments from an SEC director.
3. The lawsuit caused XRP’s price to remain low during the recent cryptocurrency bull market.
4. In December 2020, the SEC accused Ripple of illegitimately raising $1.3 billion through XRP sales.
5. In May 2023, the court sided with Ripple, stating the SEC failed to provide adequate notice that XRP sales were securities transactions.
6. On July 13, 2023, the court ruled in favor of Ripple, stating that XRP is not a security. It also criticized the SEC for its lack of clarity on cryptocurrency regulation.
“Monumental, remarkable, a historical financial turning point!”
The crypto space is celebrating, and there is serious FOMO in the market. The price of XRP jumped dramatically, and other altcoins like ADA and SOL also experienced significant gains because they now have a better understanding of how the SEC will label their coins. There is speculation that if XRP is not considered a security, then neither are other altcoins. The main reason behind this is that XRP is highly centralized, while most coins aim for decentralization. But let’s not delve into technicalities.
This is truly a turning point for cryptocurrencies. Having followed the case from the beginning, I understand how much it has impacted the industry. The case caused a slowdown in crypto innovation in the US, leading companies to move away from the country. A sigh of relief can be heard in the US and around the world.
So, what does this mean for you?
I can’t speak for everyone, but I have invested time, money, and my reputation in this revolutionary technology. This turn of events confirms my belief in the strength of the fourth industrial revolution, with crypto being a key ingredient for society. Furthermore, things have changed compared to a few years ago. Cryptocurrencies have evolved, becoming both liquid and useful for society. In 2017, they were mere ideas with limited technology, but now they have proven their ability to withstand the challenges of adoption.