XRP, the payment cryptocurrency developed by the company Ripple, has suddenly skyrocketed, leaving bitcoin, ethereum, and other major coins in the dust.
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The price of XRP jumped nearly 10% in the past 24 hours after a positive development for Ripple in its long-running lawsuit with the US financial regulator.
Meanwhile, bitcoin, ethereum and other top ten cryptocurrencies BNB, solana, cardano, luna and terra avalanche more or less traded sideways, with bitcoin price falling back below the closely watched level. of $40,000 per bitcoin.
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On Friday, a document was filed in the legal battle between Ripple, two of its executives, and the U.S. Securities and Exchange Commission (SEC), with the judge allowing Ripple to use a “fair notice defense” — meaning that Ripple can claim that the regulator failed to inform it that XRP and its public veils could potentially violate US financial laws.
“Today’s order makes clear that there is a serious question as to whether the SEC ever provided Ripple with reasonable notice that its distributions of XRP – since 2013 – would ever be prohibited under the law. on securities,” said Stuart Alderoty, Ripple’s general counsel, via Twitteradding, “Good to see the judge reject the SEC’s attempt to block Ripple from pursuing its fair notice defense.”
Ripple and the price of XRP have struggled over the past year due to the SEC lawsuit. The SEC accused Ripple of selling XRP as an unregistered security before launching a lawsuit early last year.
The SEC has filed a lawsuit against Ripple, its chief executive Brad Garlinghouse, and its co-founder Chris Larsen, alleging that the $1.3 billion sale of XRP by Ripple and its executives from 2013 to 2020 constituted an unregistered continuing offering of titles.
“We’re expecting court rulings, you know, as soon as possible on a few court rulings, but, look, it’s moving slowly,” Garlinghouse said. FoxNews earlier this month.
Judge Torres also denied Ripple CEO Brad Garlinghouse and co-founder Chris Larsen’s motion to dismiss individual SEC charges against them.
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Scott Sheridan, market expert and CEO of tasteworks, comments: “This is something that the United States has already looked at. I don’t think the current situation between Russia and Ukraine is the genesis of it, but I think this has probably helped highlight the importance of the issue. It really remains to be seen what will become of this. From what I understand, we are in an “exploratory” phase which has an indefinite period. But I think getting first-mover status in crypto is imperative. As a global reserve currency, you don’t want to risk being spoofed because you were late to the party. As for bitcoin’s spike on Wednesday, I think it was partly related to the announcement. Surely we need some regulatory clarity in this space for institutions to get involved. Once we have that clarity and greater market participation, it opens up a world of possibilities. abilities. In the long term, crypto will have a role in finance. I’m convinced. I just don’t know what that role will look like just yet. But it probably makes sense for investors to have some exposure here and, at a minimum, to understand what differentiates one product from another.”