Ripple Wins: XRP Soars After Judge Rules It’s Not a Security.
Recently, CEO Brad Garlinghouse stated that although the legal matter would shortly come to an end, the battle for cryptocurrency was far from done.
Ripple won a case brought against it by the Securities and Exchange Commission that dates back to 2020 according to a verdict delivered by Judge Analisa Torres in the United States District Court for the Southern District of New York on July 13.
Judge Torres has given summary judgment in support of Ripple Labs, allowing that the XRP token is not a security, according to documents filed on July 13.
The SEC lawsuit was trying to force Ripple to stop offering its XRP token on the grounds that XRP was a security and thus required further regulation.
As per court records:
“Defendants’ motion for summary judgment is GRANTED as to the Programmatic Sales, Other Distributions, and Larsen’s and Garlinghouse’s sales, but DENIED as to the Institutional Sales.”
After the news was announced, the price of XRP shot up from $0.45 to $0.61 in a matter of minutes. As of the time of the release of this article, the token had increased to 37%.
The case against Ripple has been going on since December 2020, when the SEC sued Ripple and its two top executives, Brad Garlinghouse and Chris Larsen. The SEC claimed that the company was offering unregistered security.
The case has experienced its fair share of dramatic intrigue over the last three years, including the publication of the “Hinman Documents” and persistent defiance from Garlinghouse against the SEC’s claims.
The crypto community as a whole seems to be in high spirits, as proven by the sharp spike in prices of the XRP token following the announcement of optimistic news.