Renowned Lawyer Anticipates Ripple IPO to Hit $100B Valuation After SEC Case is Over
As the protracted legal skirmish with the U.S. Securities and Exchange Commission (SEC) draws to a close, Ripple, a leading player in the crypto world, is creating waves of excitement in the financial community.
Ripple’s IPO Could Be Valued At $100 Billion
The prospect of the firm’s initial public offering (IPO) has ignited a fervent discussion, with renowned attorney and XRP enthusiast John Deaton providing insightful commentary during a recent conversation on Good Morning Crypto.
Before the SEC lawsuit was initiated, Ripple was already paving the way toward an IPO. According to Deaton, should the company prevail over the SEC, an IPO is not only foreseeable but could materialize within the next twelve months.
Ripple’s internal worth was pegged at $15 billion when it repurchased shares from its third series of investors. This estimate hinged on Ripple’s possession of 45 billion XRP tokens. Deaton conjectured that should the value of XRP rise to $2 per token, Ripple could see its valuation skyrocket to a staggering $100 billion.
This would propel Ripple to overtake the current market valuation of Coinbase, presently standing at $15 billion. In Deaton’s perspective, Coinbase’s valuation is underestimated, partially due to the regulatory opacity that looms over the cryptocurrency marketplace.
Legal Quandaries and Market Influences
Jeremy Hogan, another respected lawyer who has shown support for Ripple, emphasized the importance of addressing the controversial “secondary market sales” of XRP within the context of Ripple’s legal faceoff with the SEC.
Hogan underscored the crucial need to clarify XRP’s classification—whether it’s inherently a security—as this determination will inevitably impact XRP’s potential re-enlistment on exchanges and, ultimately, the lawsuit’s final verdict.
Despite the fact that the plaintiff didn’t expressly broach the issue of securities, Hogan suggests that various scenarios could illuminate secondary sales issues and sway the judge’s ruling.
In a recent ruling, the U.S. District Court for the Southern District of New York sided with Ripple Labs regarding a dispute over documents and emails linked to the so-called Hinman speech. This event is speculated to have prompted the SEC to adjust its public speech disclaimer, clarifying that comments made by officials represent their official roles.
Ripple Will Not Fall Or Lose SEC Case — Here is Why
Rumors of Ripple’s decline are not just premature, they’re unfounded, according to Ashley Prosper, a highly regarded member of the XRP community. In a post on Twitter, Prosper argued that Ripple, far from collapsing under the weight of the lawsuit by the US Securities and Exchange Commission (SEC), is exhibiting vigor and resilience.
Prosper’s insightful thread highlights a series of promising developments involving Ripple. From anticipating the conclusion of the SEC case in the near future, celebrating the upcoming release of pertinent documents by William Hinman, the SEC’s former Director of the Division of Corporation Finance, to appreciating the recent acquisition of Metaco. She also mentioned a quirky coincidence: an upcoming Disney feature that introduces characters named Ember Lumen and Brook Ripple.
Riding the Crypto Waves: Ripple’s Recent Accomplishments
Signs of Ripple’s resilience and continued business activity are everywhere. They have recently launched a Central Bank Digital Currency (CBDC) platform and have had their On-Demand Liquidity (ODL) service strengthened through the partnership between Ripple’s ODL partner Tranglo and Al Ansari Exchange, the largest outward personal remittance in the UAE.
There was also a curious incident where Google Assistant indicated the XRP price would be unavailable after June 13th. This was seen as a further hint of the impending resolution of the lawsuit. Notably, Ripple was congratulated by Nasdaq, which boosted the company’s morale amidst the ongoing legal battle.
Ripple’s Escrow Activity: Business as Usual
Adding fuel to Prosper’s argument, Ripple’s recent unlocking of 1 billion XRP tokens from escrow was business as usual. This action, part of the company’s scheduled monthly distribution strategy, sees the unused tokens returned to the escrow account after their distribution. The tokens are primarily used to meet the needs of Ripple’s ODL clients.
Historical data shows that while previous unlocks in April and March initially led to a decrease in the value of XRP, the asset quickly rebounded within two weeks. At the time of this report, XRP was trading at $0.5066 on Binance, according to TradingView data.
IRS Scores Victory: Court Rules in Favor of Document Seizure in Coinbase Case
A US Federal Court has upheld the Internal Revenue Service’s (IRS) authority to seize user data from Coinbase, one of the leading cryptocurrency exchanges. The court ruling dismisses claims that the tax body’s action infringes constitutional rights.
The Case in Retrospect
James Harper, the plaintiff, launched a legal challenge against the IRS, its then-commissioner Charles Rettig, and ten other IRS agents back in August 2020. Harper asserted that the IRS infringed upon his rights by obtaining trading records via a ‘John Doe’ summons.
‘John Doe’ summons is a conventional strategy employed by various government bodies. It permits the legal request of third-party data belonging to an individual or a group, primarily used for inspecting potential tax evasion cases.
The Court’s Judgment
The US District Court of New Hampshire, in its decision, referred to a Supreme Court ruling from May. It stated that the powers granted to the IRS by Congress implied that Harper wasn’t eligible for protection or relief beyond the existing “checks on the IRS’ powers,” as per the court documents published on Law360.
Harper, insisting on his innocence, had tried to argue that the IRS’s request for his Coinbase trading records violated his rights under the Fourth and Fifth Amendments.
An early Bitcoin trader and former legal consultant for the Bitcoin Foundation, Harper had previously contested the IRS’s initial demand for Coinbase to surrender all user trading records. He filed an amicus brief in 2016 in opposition to the IRS’s request.
However, Coinbase, after initially disregarding the IRS’s demands, was compelled to surrender some of its largest user’s information, including Harper’s, following a separate summons against the exchange in the subsequent year.
Last year, Harper was granted the right to sue the IRS in the First Circuit following an appeal. The IRS accused Harper of failing to declare his cryptocurrency trades adequately in 2013 and 2014, leading to legal actions against him and others.
Michael van de Poppe Marks Bullish and Bearish Case for Bitcoin as it Loses Critical Levels
The crypto markets, which had been largely stagnant for a long time, have been shaken by the upcoming FOMC minutes. Although the previous script of the FOMC meeting has yet to be released, the upcoming agenda of the meeting was also expected to have a larger impact on the crypto markets, specifically Bitcoin. Now that the minutes are to be released shortly, the crypto markets have been displaying a negative impact as the BTC price is on its way to hitting $26,000.
The BTC price has been rejected multiple times from levels around $27,500 and is presently facing extended bearish action. Hence, the price is expected to maintain a significant bearish trend that may even plunge below $25,000, as predicted by a popular analyst, Michael van de Poppe.
The analyst here offers both bullish and bearish levels for the Bitcoin price in the coming days. He says the next level to closely watch maybe $25,800, which has been triggering bullish divergence for quite some time. If in case, the price fails to keep up above these levels, then a breakdown may drag the price lower.
“Bitcoin lost crucial levels after rejecting at $27.5K,
I wanted it to hold $27K, it didn’t.
Scenarios I’m watching;
-Sweep $25.8K for bullish div long play (perhaps $24.9K)
-Reclam $26.6K or preferably $27.5K = long play for me as then we’ll accelerate towards high,”
XRP Defies Crypto Decline as Ripple Seems to Have Upper Hand in SEC Case
In an interesting turn of events, XRP, Ripple’s native token, has shown resilience in the face of an otherwise declining crypto market, posting a 2% gain in the last 24 hours. The uptick comes on the back of recent developments suggesting Ripple may be gaining an edge in their ongoing legal battle with the U.S. Securities and Exchange Commission (SEC). Over the last week, the value of XRP has surged by more than 8%, leading the pack amongst major tokens right now.
Ripple’s Judicial Triumph: Glimmers of Hope
The momentum shift for XRP seems to be stemming from a favorable ruling in the court case on May 15. District Judge Analisa Torres of the U.S. District Court for the Southern District of New York ruled that the SEC cannot seal documents related to a 2018 speech by former official William Hinman on the status of cryptocurrencies and securities. The court’s decision hinged on the view that these documents were “pertinent to the judicial process.”
A Landmark Date Looms
This latest court ruling has fueled optimism among XRP traders who believe that the recent court victory for Ripple could mark a significant win in the case overall. SEC’s shifting stance on cryptocurrency legislation has also been noted, with the regulatory body recently arguing against the need for legislative action for the crypto industry.
In its response to Coinbase’s request for clarification on crypto industry regulation, the SEC stated:
“Neither the securities laws nor the Administrative Procedure Act imposes an obligation on the Securities and Exchange Commission to issue the broad new regulations regarding ‘digital assets’ Coinbase has requested.”
At the time of writing, XRP is valued at $0.46, underlining its defiance of the broader market’s downturn. As Ripple navigates the legal waters with the SEC, the crypto community is keeping a keen eye on the developments that could potentially reshape the future landscape of digital assets.
Pro-XRP lawyer Explains What Will Happen to Coinbase if Ripple lost the Case Against the SEC
Attorney Jeremy Hogan, a lawyer who supports cryptocurrencies and works at Hogan & Hogan, took to Twitter to explain the potential consequences for Coinbase if it chooses to relist XRP before a ruling is made in the SEC vs. Ripple lawsuit.
Hogan highlighted that if Coinbase relists XRP and Ripple ends up losing the lawsuit against the SEC, it could put Coinbase in a disadvantaged position for its own ongoing legal battles.
He wrote, “Well, if Ripple were to lose, it’d put them on their backheel in their pending litigation. Any chance of a relisting prior to Ripple verdict went out the window with the SEC Wells notice IMO.”
Coinbase had previously removed XRP from its platform after the SEC filed a lawsuit against Ripple, accusing the company of breaching securities regulations through the sale of XRP. The legal case has been ongoing for over two years, and there is currently no set date for Judge Torres to deliver her verdict. However, the cryptocurrency market is currently awaiting verdict in the prolonged Ripple case.
Talking about the SEC’s reply to Coinbase petition, Hogan said, “The Coinbase writ was never about getting an answer to whether the SEC will fairly regulate crypto. That’s obviously a “no.” This was a Coinbase offensive against the SEC lawsuit against it coming this summer. And it got some interesting tidbits to use.”
Coinbase took legal action against the SEC on April 24 by filing a lawsuit, before issuing a response to the SEC’s Wells notice.
“As Coinbase’s own submissions make clear, considering the various paths it suggests is a necessarily complicated endeavor. Yet Coinbase filed its rulemaking petition fewer than ten months ago, supplemented aspects of the petition fewer than three months ago, and sought to supplement the record again only weeks ago,” the SEC stated.
Ripple Vs. SEC: Bill Morgan Weighs in On likelihood of Ripple Winning the Case in Supreme Court
James A. Murphy, a prominent lawyer and founder of Metalawman, recently took to Twitter to express his opinion on the SEC’s threatened lawsuit against Coinbase. He suggests that the SEC’s case might be on shaky ground, which could ultimately lead to a Ripple victory in their ongoing legal battle. The basis of his argument? None other than statements made by SEC Chairman Gary Gensler himself.
In a series of tweets, Murphy highlighted a critical moment in Gensler’s testimony to Congress on May 6, 2021. At that time, Gensler stated that the SEC does not have the authority to regulate crypto exchanges. This admission, Murphy argues, is a significant issue for the SEC’s case against Coinbase and could prove to be their undoing.
Murphy further explained that the authority to regulate crypto exchanges is a “Major Question” that can only be addressed by Congress. The SEC cannot simply will itself into having the legal authority to regulate the space. In a recent interview with Paul Barron, Murphy reiterated this point, emphasizing the SEC’s lack of jurisdiction in the crypto space.
Ripple’s Potential Supreme Court Win
Bill Morgan, in a reply to Murphy’s tweets, inquired about the likelihood of Ripple winning its case if it went to the Supreme Court, given the SEC’s lack of authority. Murphy believes that it is highly likely that Ripple could emerge victorious due to the Major Questions Doctrine and Gensler’s previous statements.
The SEC’s Mysterious Persistence: Why Not Settle?
Morgan also asked the burning question: Why hasn’t the SEC settled the Ripple case, and why risk an adverse binding decision on such a pivotal legal issue? The answer remains elusive, but it raises even more questions about the SEC’s ongoing efforts to regulate the crypto industry.
Now the real question for you: As the legal drama unfolds, will Ripple and Coinbase emerge victorious, or will the SEC find a way to regain its footing? And, most importantly, what does this mean for the future of crypto regulation? Only time will tell, but one thing is for sure: the stakes have never been higher.
Ripple Vs SEC Case Will Make or Break the Crypto Industry, Claims Expert
The Ripple-SEC legal tussle has sent shockwaves throughout the cryptocurrency industry, and everyone is eagerly anticipating the outcome.
In the midst of this tension, Nick Regan, an expert in the crypto space from Cheeky Crypto, delves into the latest developments and what they could mean for the wider market.
Deaton vs. SEC’s Former Attorney
The Ripple community has been closely following a recent argument between John Deaton, a well-known lawyer in the crypto space, and a former SEC attorney named Marc Fagel. The SEC attorney claimed that Ripple violated Section 5 of the Securities Act and that the agency has a better chance of winning the case. However, he also contradicted himself by saying that Ripple will ‘probably’ win in another discussion. This shows how unsure even SEC’s people are.
Related: Ripple News: Pro-XRP Lawyer Explains How the SEC is Taking a ‘Shorthand’ Approach in the Case
The Infamous Howey Test
Deaton countered the former SEC attorney’s initial argument by emphasizing the significance of the Howey Test. He said that while most initial coin offerings (ICOs) have violated Section 5, the SEC’s case against Ripple is flawed due to its broad approach. In addition, Deaton highlighted that the Howey Test has never been applied to secondary sales of an asset, which further complicates the SEC’s argument.
Ripple Win Could Boost Crypto Industry
According to Nick Regan, a win for Ripple would be beneficial for the entire crypto industry. If Ripple loses, the SEC could potentially use this case as a basis to label other cryptocurrencies as securities, which would have a negative impact on the industry that is starting to enter a bull market after a long and intense bear one. A Ripple win, on the other hand, would set a precedent for defending cryptocurrencies and foster a more favorable environment for growth and innovation.
The XRP Price Outlook
As the legal battle unfolds, Regan analyzed XRP’s price charts and shared his thoughts on its future trajectory. He believes that once the case is resolved, and XRP gains the necessary regulatory clarity, its price could surge significantly. This would likely be driven by the relisting of XRP on US exchanges and increased investor confidence in the asset.
At press time, XRP was worth $0.43 and it has been down by over 5% in the past twenty-four hours.
The Case for Adding Mooky to Your Crypto Portfolio in 2023
A brief overview of Mooky’s mission and unique features
Mooky’s mission is to plant trees globally and inspire change through a community-owned token with governance. Mooky is a 0% tax token with a two-year liquidity lock. Mooky’s token allocation percentages include 65% in presale, 25% in liquidity, 5% in CEX/staking, 2% in charity, and 3% in reserves. Mooky’s unique features include its 3D NFTs that offer utility and ROI, with each NFT connected to a real-life planted tree. The Mooky Ventures Club is a unique perk for legendary and rare NFT holders, offering airdrops, merchandise, and passive income from the investment portfolio.
Understanding Mooky’s Mission and Tokenomics
Mooky’s primary goal is to help combat climate change by planting trees globally. Trees play a critical role in regulating the Earth’s climate, and Mooky recognizes the importance of reforestation efforts in mitigating the negative impacts of greenhouse gas emissions. By focusing on environmental sustainability, Mooky hopes to inspire change and promote a more conscious approach to investing.
Mooky’s commitment to planting trees is part of its mission to create a more sustainable and equitable world. By encouraging individuals and organizations to invest in its community-owned token, Mooky aims to harness the power of cryptocurrency to drive positive social and environmental impact. Mooky hopes to catalyze change in the cryptocurrency industry by prioritizing environmental sustainability and social responsibility.
How Mooky Benefits Your Portfolio
Mooky’s community-owned token offers unique potential for financial gain for its investors. As a community-owned token, the platform’s governance is decided by community vote, allowing the community to have a say in how the platform is run. It provides a sense of ownership to token holders and increases the level of transparency and accountability of the platform.
Additionally, Mooky’s mission to plant trees and promote environmental sustainability has the potential to attract a large audience of environmentally-conscious investors. As the demand for green investments continues to grow, Mooky’s unique proposition may increase its token value as more investors seek to align their investments with their values.
Moreover, Mooky’s 0% tax token means that investors will not have to pay any transaction fees, which is a significant advantage for those looking to maximize their profits.
The Future of Mooky and Cryptocurrency Investing
The long-term potential for Mooky’s investment portfolio and community is significant. As a community-owned token, Mooky is driven by the collective decisions of its holders, which provides a unique opportunity for investors to shape the project’s direction. It means that the Mooky community has a vested interest in the project’s success, which can lead to increased engagement, collaboration, and support.
Regarding its investment portfolio, Mooky’s focus on environmental sustainability and global tree planting provides a valuable niche in the cryptocurrency market. As the world increasingly focuses on ESG investing, Mooky’s mission could become even more relevant and sought-after by investors. Additionally, the success of Mooky’s investment portfolio could lead to increased support for its tree-planting efforts, which could significantly impact the environment and the world.
Overall, the long-term potential for Mooky’s investment portfolio and community is closely tied to its mission and unique features. By prioritizing environmental sustainability, community engagement, and innovation, Mooky has the potential to become a significant player in the cryptocurrency market and a force for positive change in the world.
|Disclaimer: This is a press release post. Coinpedia does not endorse or is responsible for any content, accuracy, quality, advertising, products, or other materials on this page. The image used in this article is for informational purposes only and is provided to us by a third party. Coinpedia should not be held responsible for image copyright issues.
Contact us if you have any issues or concerns. Readers should do their own research before taking any actions related to the company.
Coinbase Lawsuit Gains Momentum: Potential for Swift Progress Surpasses SEC v. Ripple Case
The Coinbase lawsuit against the U.S. Securities and Exchange Commission (SEC) is predicted to progress more rapidly than the ongoing Ripple case, according to an anonymous lawyer MetaLawMan’s tweet. The case will bypass the trial court stage, starting in the appellate court, and will not involve discovery, allowing for a potential swifter resolution.
Distinguished Legal Team Spearheading the Case
Coinbase’s legal team is led by Eugene Scalia, former Secretary of Labor and son of the late Supreme Court Justice Antonin Scalia. With experience in defeating government agencies, including the SEC, the team is well-equipped to handle the lawsuit. Coinbase is seeking a Writ of Mandamus, a court order compelling the SEC to make a decision on the company’s request for rule-making.
While the lawsuit may not directly affect the SEC’s threat to sue Coinbase, it draws attention to the regulator’s contradictory positions regarding its authority to regulate digital assets, says MetaLawMan. This may influence other judges to take note of the SEC’s inconsistent stances in similar cases.
Possible Support from Industry Players and Government Officials
It is expected that major industry participants and the House Financial Services Committee or individual members may back Coinbase by submitting amicus briefs. The SEC Commissioners will have to approve any response to the company’s action. MetaLawMan says there is a small chance that the SEC will agree to engage in rule-making if just one Commissioner withdraws their support for SEC Chair Gary Gensler’s “regulation-by-enforcement” strategy.
Analysts’ Positive Outlook on Coinbase Stock
Prominent New York-based investment bank H.C. Wainwright analysts have stated that Coinbase is uniquely positioned to benefit from the large and rapidly growing global crypto economy.
As the largest publicly-traded crypto exchange in the world, the company is expected to expand its market share in the cryptocurrency sector throughout the remainder of 2023. The analysts have set a price target of $75 per share for Coinbase stock (COIN), a nearly 40% increase from its current trading price of $53.89.
Ripple Vs SEC: Will SEC Chairman Gary Gensler Agree for a Settlement, Here’s the Best Case Scenario
Regulatory uncertainty is already having an impact on the cryptocurrency sector and the widely publicized lawsuit between Ripple and the United States Securities and Exchange Commission (SEC). is now gaining steam as the community waits impatiently for the judge to render a decision.
Coinbase has joined the ranks of Ripple, which is fighting on behalf of the entire cryptocurrency space. Youtuber Zach Rector explained the best-case scenario for the Securities and Exchange Commission and added that a settlement may soon be on the cards amid a heavy backlash against SEC chair Gary Gensler.
Talking about Coinbase suing the SEC, he pointed out an interesting fact. He said, “Fred Rispoli has filed some interesting motions. He actually filed the motion against Coinbase, so now it’s funny Fred and Coinbase now are going to be both on the same side against the SEC even though Fred just filed the class action lawsuit against Coinbase.”
According to reports, The House Financial Service Committee has released a new draft bill to regulate stablecoin issuers. The proposal mandates that stablecoin issuers be authorized and subject to regulation. Additionally, it states that stablecoins are not securities and are not subject to SEC regulation.
Even during his recent appearance before the US House of Representatives Financial Services Committee, Gensler continued to dodge the frequently questioned topic of whether Ethereum (ETH) is security.
XRP price hits reverse
This week marked a slow start for the broader cryptocurrency market and XRP. There were no updates in the SEC v. Ripple case to pique interest. Before going into reverse, XRP climbed to an early high of $0.48499. The first major resistance level at $0.4734 and the second major resistance level at $0.4819 were both broken by XRP and then it hit the reverse button. At the time of writing, XRP is down by more than one percent and is trading at $0.45.
Judge Torres Under High Pressure for Upcoming Verdict in Ripple Vs SEC Case
The Securities and Exchange Commission (SEC) has been creating some rifts in the cryptocurrency market by charging firms with alleged securities violations. Kraken, for example, paid $30 million to settle with the SEC as its CEO claimed they were not in a position to fight the case. Additionally, the SEC has sent Wells notices to several crypto exchanges such as Coinbase, Binance, and Bittrex for selling unregistered securities to US customers.
Judge Torres under pressure
One significant case is the SEC vs Ripple, where the verdict is about to be announced. The SEC has accused Ripple of selling XRP as an unregistered security, but Ripple is fighting the case. Judge Analisa Torres has more pressure on this case, as the crypto community eagerly awaits her decision.
Ashley Prosper, a member of the XRP community, tweeted that the next week would be interesting as April 27 marks 52 days since Judge Torres ruled on the Daubert motions in the XRP case. She assumes that the judge’s Summary Judgement ruling will be just around the corner.
Meanwhile, Europe is make rules clear for crypto
Binance CEO CZ tweeted that the European Parliament had voted to implement the Markets in Crypto-Assets (MiCA) regulations. This move will provide tailored regulations for cryptocurrencies to protect users and support innovation in one of the world’s largest markets. Although the fine details of the regulations will matter, CZ believes that this is a pragmatic solution to the challenges faced by the industry. With clear rules of operation in place, crypto exchanges will be able to operate within the European Union.
Who will win the case?
The decision in the SEC vs Ripple case is highly anticipated as it could have a significant impact on the crypto industry. If Ripple wins the case, it could set a precedent for other crypto companies to follow. However, if the SEC wins, it could result in further regulatory action against other crypto firms. The wait for Judge Torres’s decision continues, and the crypto community is eagerly anticipating the outcome.
Hong Kong Court Rules Cryptocurrency as Property in Gatecoin Case
For the first time, a Hong Kong court has ruled that cryptocurrencies are property and can be held in trust. The Honourable Madam Justice Linda Chan determined in Re Gatecoin Limited  HKCFI 91 that cryptocurrency has all of the characteristics of property inherently. With regard to acknowledging the proprietary nature of digital assets, the judgment places Hong Kong squarely in line with numerous other common law jurisdictions. Read on.
Justice Linda Chan rules cryptocurrency as property “capable of being held on trust”
Gatecoin, a Hong Kong-based cryptocurrency exchange, operated from January 2015 until it was wound up by a court order in March 2019, leaving 102,600 creditors. In a recent case, the joint and several liquidators of the company sought directions from the court regarding the characterisation of cryptocurrencies held by the company and the allocation of currencies, including fiat currencies, to its customers. T
he liquidators wanted to know if the cryptocurrencies held were held on trust for the customers or “if no trust existed, the digital assets should be made available to the general body of creditors,” according to the Hogan Lovells report. The exchange held crypto upwards of 140 million Hong Kong dollars ($17.8 million) in October 2022, the report said.
A Hong Kong court has recognized cryptocurrency as property “capable of being held on trust.” The judge who presided over the case, Justice Linda Chan, stated that Hong Kong, like other common law countries, defines “property” broadly and is “intended to have a wide meaning.”
Similar decisions have been made in Mainland China, whereas the Internal Revenue Service (IRS) of the United States regards cryptocurrency as property for taxation. In the United Kingdom, a government-funded law commission discovered that under current English and Welsh law, cryptocurrencies can be categorized as a new sort of property.
The report also stated “While the court determined that cryptocurrencies are capable of forming the subject matter of a trust more generally, on the facts in this particular case it found that a trust had not been established,”
The ruling to provide clarity in event of winding up
Insolvency practitioners in Hong Kong should now have a clearer understanding of the type and extent of a company’s digital assets in the event of a winding-up.
The rejection of account holders’ allegations that their assets were kept in trust for them by Gatecoin, highlights the importance of the contractual bargain formed between the parties, even when new legal arguments are being decided.
Ripple Vs SEC : XRP lawyer Explains How Ripple Can Continue Doing Business Even if it Loses the Case
Bill Morgan, a pro-XRP lawyer took to his Twitter handle and explained via a series of tweets why it was difficult for Coinbase, the largest cryptocurrency exchange to relist XRP. Coinbase’s decision not to list XRP revolved around the uncertainty caused by the legal case against Ripple made it difficult for Coinbase to list the cryptocurrency.
Morgan said that the people who defended Coinbase’s decision to not list XRP made a distinction between the coins that Coinbase lists and XRP. They argued that the uncertainty caused by the legal case against Ripple regarding the status of XRP made it difficult for Coinbase to list the cryptocurrency.
He also spoke about diversifying income and offering products that can be offered without XRP is definitely a good strategy for Ripple to consider in the event that they lose the case and are injuncted from dealing with XRP in the US. This would allow Ripple to continue doing business in the US. The case is ongoing, and there is still uncertainty regarding the regulatory status of XRP.
Morgan also hinted that it is possible that the current commercial arrangement for the Liquidity Hub (LH) is a manifestation of Brad Garlinghouse’s statement that Ripple is acting as if it has already lost the case. By offering the LH without XRP, Ripple is hedging its bets and preparing for the possibility that XRP may be injuncted in the US.
If Ripple is able to successfully defend against the SEC’s allegations then it’s certainly possible that XRP could be added to the LH at a later time. In December 2020, the U.S. Securities and Exchange Commission (SEC) filed a lawsuit against Ripple, alleging that the company had conducted an unregistered securities offering by selling XRP tokens.
Ripple Case Takes a Turn as XRP Advocate Acknowledges Validity of SEC’s Claim
In an unexpected change of events, Bill Morgan, an advocate for XRP and attorney, revealed a possible scenario that might come to play in the ongoing XRP v. SEC lawsuit, which may have a substantial impact.
He said that the SEC’s own expert had acknowledged that since the mid of 2018, the prices of Bitcoin and Ethereum, can account for up to 90% of changes in the price of Ripple’s native token.
Morgan goes on to explain that if the SEC expert’s study is accurate, Ripple is to blame for allowing fluctuations in the price of BTC and ETH to influence the XRP price. Moreover, as a centralized firm, Ripple manages the price of XRP.
Morgan backs SEC
Morgan also said that the SEC is accurate in saying that investors may depend on Ripple’s attempts to create profits. For gains on XRP, investors are not depending on Ripple’s commercial operations, but rather on the company’s legal efforts in winning the lawsuit against the SEC.
“Paradoxically, the SEC may be correct about investors relying on Ripple’s efforts but not because of Ripple’s business efforts or sales of XRP, but its legal efforts defeating the SEC’s lawsuit should it be successful,” he said.
Jeremy Hogan reacts to Morgan’s claims
Attorney Jeremy Hogan predicted an unexpected verdict in this case based on the information provided by Bill Morgan. He made the assumption that if the judge overseeing the Ripple lawsuit decided to “split the baby,” she could decide that sales of XRP since mid-2018 were not securities because even the SEC acknowledges that Ripple’s actions since that time have had almost no impact on XRP’s price.
“IF the Judge in the Ripple case wanted to “split the baby,” (that’s a horrific phrase isn’t it?) she could rule that sales of XRP since mid-2018 were NOT securities because even the SEC concedes that Ripple’s actions had almost no effect on XRP’s price since that point in time.”
David Gokhshtein Predicts XRP Price Surge if Ripple Prevails in SEC Case
One of the most well-known cryptocurrencies, XRP, has recently made news of its spectacular growth following the end of the “crypto winter.” Since March 21st, the token’s value has increased by about 49%, and it continues to rise. Many people now anticipate that even bigger gains may be forthcoming as XRP broke over a major barrier mark below $0.5.
Recent tweets by cryptocurrency entrepreneur David Gokhshtein, who thinks that a favorable settlement for Ripple could lead to large gains for the token, have only heightened the frenzy surrounding XRP.
XRP has been on the rise in recent days, adding 6% to its initial price at the time of writing and displaying an increase of 14% at one point as well. The token price also surpassed a key barrier level at about $0.51 per XRP, trading at its highest level since early May.
Ripple v. SEC
Observers in the cryptocurrency space and beyond have taken notice of XRP and the SEC’s action against Ripple. With recent changes in cryptocurrency regulation, Ripple’s ability to deftly deflect its rival’s charges may have surprised people who were previously indifferent.
Many experts, including cryptocurrency attorney and XRP supporter John Deaton and crypto analyst Alex Kruger, believe that a favorable settlement for Ripple could result in significant gains for XRP. Gokhshtein himself wonders how much further the XRP chart could climb if Ripple wins the SEC case against the cryptocurrency exchange.
What holds for XRP?
Investors are eagerly watching the XRP price chart and wondering how much higher it could climb in the event of a Ripple victory. As the cryptocurrency market continues to evolve, it is clear that XRP will remain a token to watch. The community is already optimistic about the coin performance and many shared their excitement on Twitter.
Only time will tell how this legal battle will play out, but one thing is certain – the world of cryptocurrency will never be the same.
With so much at stake, the outcome of the Ripple v. SEC legal battle is sure to have a significant impact on the cryptocurrency market. As XRP continues its upward trajectory, investors will be keeping a close eye on the latest developments in this ongoing saga.
Bitcoin Might Face Worst Case Scenario If BTC Price Mirrors 2019 Price Trajectory
On Tuesday, Bitcoin, the largest cryptocurrency by market cap, fell close to $27,000 after reaching a recent high of $28,889. The drop was attributed to the Commodity Futures Trading Commission’s crackdown on Binance.
An analyst, Tedtalksmacro, pointed out that the current price trends of Bitcoin are similar to those of 2019, where the cryptocurrency reached a bottom after deviating 83% from its all-time high (ATH) approximately 500 days before the 2020 halving.
Similarly, Ted predicts that Bitcoin will bottom out in 2023 after dropping 78% from its ATH, approximately 500 days before the 2024 halving.
Ted also noted that the 2021/22 echo bubble exceeded the 2018 echo bubble by a multiple, and hypothesized that barring another black swan event like a third world war, the COVID black swan price action should not repeat itself.
Another analyst, Andrew Kang, drew parallels between the present and 2020, where regulatory FUD surrounded Bitcoin after the COVID recovery, causing markets to be hit with a barrage of regulatory FUD from US and China regulators.
The US government targeted CryptoHayes and Bitmex, while the Chinese government went after OKX and Huobi executives. Despite this, the markets could not break below $10k and eventually climbed the wall of worry.
the current price trends of Bitcoin are similar to those of 2019, where the cryptocurrency reached a bottom approximately 500 days before the halving. While the 2021/22 echo bubble exceeded the 2018 echo bubble, analysts predict that Bitcoin will bottom out in 2023, barring any black swan events, and climb back up during the consolidation phase. Despite regulatory FUD surrounding Bitcoin, the markets have shown resilience and climbed the wall of worry.
Is the SEC Overreaching in Crypto Enforcement? Coinbase Weighs in With Amicus Brief in Insider Trading Case
Coinbase, a leading digital currency exchange, has filed an amicus brief in the insider trading case against its former employee, Ishan Wahi, and his brother. While Wahi has admitted to insider trading, he is disputing the Securities and Exchange Commission’s (SEC) allegations of securities fraud.
Coinbase denies that any of the tokens that Wahi inside-traded with associates were securities, arguing that it does not list securities. However, the exchange would like to list securities if the SEC gave it proper rules and guidance.
The SEC’s Allegations of Securities Fraud
The SEC has accused Wahi of securities fraud, alleging that he leaked information about new token listings on Coinbase to his brother and associates, who then used the information to profit from trading in advance of the public announcement. Wahi has pleaded guilty to insider trading but is contesting the SEC’s allegations of securities fraud, arguing that the tokens in question were not securities.
Coinbase’s Argument for Rulemaking
Coinbase’s amicus brief argues that the SEC’s case against Wahi rests on the erroneous premise that the tokens in question were securities. Coinbase does not list any securities on its platform, but it would like to if given proper guidance and rules from the SEC.
The exchange has accused the SEC of failing to provide clear guidance, deviating from its own earlier statements, and ignoring petitions filed by Coinbase. The exchange believes that rulemaking is the only realistic way for the SEC to provide fair notice to affected stakeholders and coherently consider all important aspects of regulating the crypto industry.
The Blockchain Association’s Amicus Brief
In mid-February, the Blockchain Association trade group filed an amicus brief in the same case. The group argued that prior regulation by enforcement via the SEC has made the US an opaque and confusing jurisdiction to do business in for the digital assets industry. The Blockchain Association also criticized the SEC for seeking to backdoor a precedent that can be used in other cases where the Department of Justice has brought an action, and the SEC has piled on with similar allegations of securities laws violations against absent third parties.
Did the SEC violate due process and fairness by proceeding with enforcement without providing clear regulatory guidance?
How will the outcome of the Wahi insider trading case affect the future of crypto regulation?
What are the regulatory challenges facing the digital assets industry, and how can practical solutions be developed?
Judge’s Ruling Increases Likelihood of Trial in Ripple v. SEC Case
In the ongoing legal battle between Ripple Labs and the U.S. Securities and Exchange Commission (SEC), the likelihood of the case resolving through trial has become even higher, according to the former lawyer and Evernode XRPL co-founder Scott Chamberlain.
The judge’s decision to exclude the SEC’s expert witness as a result of yesterday’s ruling has weakened their motion for summary judgment. The exclusion was due to the efforts of John Deaton, a legal representative for XRP holders and a crypto attorney, whose testimony of 75,000 XRP holders stood against the testimony of one SEC witness, whom the judge cut off.
Judge Torres Issues Ruling on Expert Testimony in Ripple v. SEC Case
Judge Analisa Torres has issued a 57-page ruling on both parties’ motions to exclude expert testimony from summary judgment (“Daubert” motions) in the Ripple v. SEC case.
While neither side wins, Ripple gains an advantage due to the exclusion of the SEC’s expert witness, Patrick Doody, who was hired to analyze the expectations of XRP buyers.
The exclusion weakens the SEC’s claim that investors had a “responsible” expectation of profits from Ripple’s efforts. Another unfavorable outcome for the SEC is that the judge did not ban XRP community attorney John E. Deaton from participating in the case, despite SEC lawyers’ attempts to do so.
Ripple Gaining Upper Hand in Legal Dispute with SEC
Ripple’s long-running dispute with the SEC could be resolved in the coming weeks, with the company gaining the upper hand in the case. The legal precedent set by the case is of great importance to the entire crypto market, making it a closely followed case for investors, developers, and shareholders alike.
The dispute began in December 2020 when the SEC claimed that Ripple illegally sold $1.3 billion worth of XRP as an unregistered security. Ripple has long disputed the claim, arguing that XRP does not constitute an investment contract under the infamous Howey test.
Ripple vs SEC Case Ruling to be Produced Any Moment From Now – Says Attorney John E. Deaton
The long-standing Ripple vs SEC legal dispute is reaching its conclusion as a ruling is anticipated in the near future. John Deaton, a vocal supporter of the XRP cryptocurrency and a representative for XRPArmy in court, has expressed confidence that Judge Torres will deliver a verdict imminently and without further delays.
Attorney John E. Deaton has provided his perspective on the timeline of the SEC lawsuit against Ripple in a series of tweets. Deaton suggests that the ruling on Daubert’s motions was a strong indication that a quick decision can be expected soon.
In the recent Daubert motion ruling, Judge Analisa Torres granted and denied partial motions from both Ripple and the SEC. This ruling seemingly eliminates the possibility of XRP holders purchasing tokens with an expectation of huge profits derived from Ripple’s efforts.
Three potential outcomes could arise from the ruling. The court could rule in favor of either the SEC or Ripple or in the least likely scenario, the lawsuit could be sent to trial.
According to Deaton, the ruling could clarify the status of secondary sales of XRP, potentially resulting in a significant victory for Ripple if the judge opposes the SEC’s claims on this matter.
SBF Seeks Expert Assistance In Criminal Fraud Case Amidst Fresh Allegations
FTX founder Sam Bankman-Fried (SBF) has suggested two technology consultants, Edward Stroz and Michael McGowan, to help determine appropriate bail restrictions in his criminal fraud case.
This move came after US District Judge Lewis Kaplan asked SBF to propose at least one technical consultant to prevent him from more bail restrictions.
Fresh Allegations Levied
Federal prosecutors earlier alleged SBF of using encrypted-messaging apps and VPN to contact FTX employees and executives. Prosecutors asked the court to extend his bail conditions due to fresh allegations.
Moreover, the judge threatened to completely revoke SBF’s bail conditions and send him to jail if he is not satisfied with the restrictions, ahead of his trial in October.
Recently, Sam Bankman-Fried was hit with 4 new charges including securities fraud and conspiracy to commit bank fraud, political contributions that manipulated the U.S. 2022 midterm elections. SBF is under house arrest with a bond set at $250 million and his trial scheduled on October 2. As of now, Bankman-Fried has pleaded not guilty to all counts of charges.
Meet The Technical Consultants
Edward Stroz has worked as an FBI agent for over 15 years and managed a global digital forensics and computer investigations firm for nearly two decades. Michael McGowan is a digital forensics consultant for more than 19 years.
He has led several high-profile cases, such as authenticating baseball player Alex Rodriguez’s text messages on drug use and revealing a forged contract in a lawsuit filed against Mark Zuckerberg for half his Facebook shares.
The Integrity Of The Judicial Process
SBF has pleaded not guilty to all the charges against him. The new charges brought against him include securities fraud, bank fraud, and political contributions that manipulated the U.S. 2022 midterm elections.
The case against SBF is under the scrutiny of the US judiciary, and it’s important to maintain the integrity of the process.
The use of technical consultants like Edward Stroz and Michael McGowan to determine appropriate bail restrictions is a positive step to maintain transparency in the case.
However, the case is ongoing, and the final verdict is yet to be decided. As the proceedings continue, it’s important to ensure that the integrity of the judicial process is upheld, and justice is served accordingly.
Forbes Journalist Files Amended Motion for Ripple vs SEC Case, Seeking Access to Hinman Documents
Many in the cryptocurrency industry believe that the most crucial legal issue is that between the SEC and Ripple. Yet, the commission’s regulatory approach is predicted to change if Ripple triumphs. The most recent updates state that Forbes journalist Dr. Roslyn Layton has approached the court for permission to intervene and access to the Hinman Speech Documents through an amended MOTION.
Pro-XRP lawyer James K Filan took to Twitter and shared the amended motion filed by Layton. In the motion to intervene, Layton has highlighted that the stakes are ‘extraordinarily high’ not only for Ripple but also for its executives and the thousands of XRP holders who have suffered losses in billions due to ‘SEC’s misguided effort at supposedly protecting them.’
Part of the motion read, “And the supposed guidance Hinman offered in that speech has proven inscrutable, declaring one crypto asset-Ethereum’s native cryptocurrency Ether- as completely outside the securities laws, while the SEC seeks billions in penalties from Ripple’s virtually identical offering for supposedly violating those laws.”
Adding, “That inconsistency has given rise to grave concerns about potential conflicts of interest, because Hinman had a financial stake in promoting Ethereum to the exclusion of competing coins like XRP.”
The Hinman Speech Papers will show whether Ethereum’s SEC proponents had undue interference in the crafting of Hinman’s message, or whether agency officials believed the advice offered in the speech was muddled or strayed too far from predetermined norms. Thus, public access will be essential, as stated in the motion.
It further added that the SEC’s contention that this Court has declared the documents irrelevant is incorrect. However, it also highlighted that the SEC had declared the documents are relevant to “the summary judgment motions” when it offered them in support of its own summary judgment motion.
XRP On Thin Ice: SEC Case Heats Up, Sends Shockwaves Through The Market
The XRP market is on a downward spiral as factors like crucial network fundamentals, global crypto macroeconomics, and price action deters bulls from going parabolic. After rallying from $0.33 to around $0.44 in January, the XRP price has since invalidated the rising trend after dipping toward $0.37 earlier this month. Nonetheless, the possibility of a breakout cannot be ruled out entirely, as the digital asset could burst from the multi-year consolidation.
As the XRP case nears the end, lawyer John E Deaton – the founder of crypto-laws.us – has recently indicated that the SEC could get some victory in that Ripple sold unregistered securities between 2013-2107. As a result, Deaton thinks the possibilities of a jury trial are even higher than before, contrary to many people’s expectations.
“If true (no injunction), there won’t be an injunction, no disgorgement, but a fine. But, as you know, I think the chances of a jury trial are higher than most people believe,” Deaton noted.
Moreover, the lawyer has argued that Ripple may have violated some United securities laws through the XRP sales.
XRP Price Action & Market Analysis
While the XRP price has not outperformed the 2017/2018 bull market, the digital asset has been consolidating similarly to the pre-2016 market. As a result, the possibilities of breaking out of the multi-year wedge formation on the weekly timeframe are solid. Nonetheless, a pseudonymous crypto trader on Twitter @Leerzeit has outlined a negative sentiment on XRP’s market outlook.
According to @Leerzeit, XRP price closed the 12th red candle in a row against the total of crypto, a phenomenon not observed since early 2015.
As a result, XRP traders are now worried the XRP global market share is declining while Ripple continues to pour in more units from the escrow account to the secondary market.
Ripple Vs SEC : Judge Calls SEC Lawyers Self-Serving in Case Against Ripple
A federal court has chastised the SEC’s attorneys’ behavior in the case, labeling them self-serving, in a shocking move in the continuing legal conflict between Ripple Labs and the US Securities and Exchange Commission (SEC), as was shared by the top crypto lawyer John Deaton.
Latest on the Ripple-SEC Lawsuit
The comments by Judge Sarah Netburn come as the parties await a much-anticipated summary judgment in the case that could have far-reaching implications for the regulatory status of digital assets.
Deaton has been a vocal critic of the SEC’s stance in the case. He has argued that the SEC’s claim that XRP is a security is without merit and that the commission should have recommended a cease and desist letter instead.
The lawyer has also highlighted the SEC’s strategy of expanding its definition of what constitutes a security, focusing on the underlying digital asset and including secondary market sales.
He contends that the SEC’s embodiment theory, which states that XRP encompasses all of Ripple’s efforts, is incorrect and that the agency is attempting to apply its legal framework to a new sector retrospectively. The SEC’s theory asserts that XRP includes all of Ripple’s activities.
The crypto community has been keeping a close eye on the case because it has the potential to serve as a model for how the United States government will regulate digital assets in the future. The judge’s criticism of the SEC’s behavior in the case raises worries concerning the objectives of the commission and might play a role in determining the result of the case.
Amicus Curiae, a group of XRP holders who have chimed in on the matter, has predicted that Judge Netburn would have a difficult decision to make. The XRP memo, which is protected by the Deliberative Process Privilege, was disclosed by the court; nevertheless, it did not include any recommendations at the conclusion of the document.
Forbes Contributor Opposes SEC’s Attempt To Seal Documents In Ripple Case
The Ripple vs SEC lawsuit is intensifying amid increased regulatory scrutiny of the cryptocurrency market in the United States. The New York State Department of Financial Services has already halted the continuation of Binance-backed BUSD stablecoin, and the Kraken cryptocurrency exchange has stopped offering staking programs after SEC’s intervention.
The SEC’s aggressive approach to crypto regulation has prompted industry leaders, including Coinbase Global Inc CEO Brian Armstrong, to express concerns about the United States losing its status as a financial hub to other nations.
Ripple CEO Brad Garlinghouse has also threatened to exit the US market should the SEC prevail in its case against the company. Garlinghouse and his legal team argue that the SEC has favored Ethereum over XRP, despite both being decentralized technologies.
The Controversial Hinman Speech
A closer look at former SEC Director of Corporation Finance William Hinman’s speech in June 2018, dubbed the “Hinman Speech Documents,” reveals that the SEC has moved to seal some of these documents that were offered in support of its summary judgment motion on December 22, 2022.
However, Forbes senior contributor Roslyn Layton, who has no financial stake in Ripple, filed a motion to oppose the move.
The court documents state, “Dr. Layton is entitled to raise this petition as a member of the press, which has standing to intervene in actions to which it is otherwise not a party in order to petition for access to court proceedings and records.”
Regardless of whether Judge Torres rules in favor of Layton, the public can expect to know the details of the case after the final ruling, which is expected to happen this year.
Tulip Trading Case Outcome Will End Ripple And XRP ?
On Feb 3, 2023, popular American businessman Craig Wright filed a lawsuit against 16 Bitcoin developers who are set to go under trial in London. If Craig Wright wins, Bitcoin developers will be forced to modify Bitcoin code. Also it’s been said that through this lawsuit, Craig will earn billions of dollars.
As per reporters, Wright is forcing the developers to surrender the crypto and modify code. The main reason for Wright to sue the developers is that a year ago he lost access to his key due to a hack. He claims that if he had access to the keys, he would have withdrawn crypto from other addresses.
David Schwartz : Tulip Trading case id nonsensical
Now with the latest updates, the self-proclaimed Bitcoin creator Criag Wright has claimed that the result of his case against Bitcoin developers will end Ripple and XRP. The claim was revealed via Twitter’s post on Feb 4, 2023 where he also stated that this is the reason why XRP community is keeping up with his case.
Furthermore, the US businessman believes that the case will confirm that most of the Blockchains including XRP ledger is not a decentralized network. This is because he asserts that the network is basically controlled by Ripple who keep changing the rules regularly as per their wish.
This comes a day after a UK court passed a judgment on Feb 3 that the Tulip Trading case will go on trial next year as the judge believes that this is a serious issue that needs to be tried. Craig through his case against Bitcoin developers is looking forward to recovering 111,000 BTC that he lost in the hack.
Meanwhile, the crypto community including Ripple’s chief technology officer David Schwartz has quoted Craig’s Tulip Trading case as “nonsensical”
Meanwhile, Ripple’s XRP is now trading at $0.3977 after a loss of 1.54% over the last 24hrs.
SEC Under Fire: FOX’s Gasparino Accuses Agency of Mishandling Ripple Case, Deaton Responds
The SEC filed a lawsuit against Ripple Labs Inc., the firm behind the XRP cryptocurrency, in December 2020, saying that the company engaged in an unregistered securities offering of XRP for $1.38 billion. The case is still ongoing, and the conclusion could have far-reaching consequences for the XRP cryptocurrency and the broader crypto sector.
Moreover, by the end of 2022, FTX collapsed and filed for bankruptcy. The FTX collapse was not the result of bad management or oversight, but of deliberate fraud. Another description of the alleged crimes is that they are “one of the biggest financial frauds in American history.”
Could the FTX collapse and people losing millions be prevented if the SEC had focused on the right people? Let’s see
Gasparino Criticizes SEC’s Judgment
Charles Gasparino is an American journalist, blogger, and radio host. On the Fox Business Network, he participates on panels frequently. In a recent tweet, he criticized the SEC’s judgment to go after crypto companies.
He has revealed how Sam Bankman-Fried, the founder of FTX, had two meetings with the SEC. He continues by saying that the SEC botched its regulatory strategy by going after Ripple over unregistered XRP when there were significant concerns about potential fraud with exchanges.
In response to this tweet, John E Deaton, the CryptoLaw founder has stated that it’s not just Ripple that has become a target of SEC’s poor regulatory agenda. The SEC sued LBRY, a small company in New Hampshire in another non-fraud case over the LBC token. Then there’s dragonchain whose DRGN token is governed by the Ethereum Blockchain and also with respect to Kim Kardashian. Pointing out the incompetence and failure of the SEC Chairman, Gary Gensler.
The SEC brought an enforcement action against LBRY in March 2021, claiming that LBRY had offered and sold LBC as an unregistered security in violation of Sections 5(a) and 5(c) of the Securities Act.
Further, The Securities Exchange Commission pursued charges against blockchain-company Dragonchain, alleging that the 2017 ICO and subsequent offers and sales of their DRGN token, which raised over $16.5 million in proceeds, were illegal sales of unregistered securities.
The Securities and Exchange Commission in October 2022, announced charges against Kim Kardashian for touting on social media a crypto asset security offered and sold by EthereumMax without disclosing the payment she received for the promotion.
Community Reaction to this
The majority of the community believes that if SEC had focused its attention on potential fraud by FTX and SBF, it could have prevented severe losses suffered by the FTX collapse.
The majority agrees with Charles Gasparino and John E Deaton and has expressed their disappointment with SEC and Gary Gensler.
Where XRP Price Is Heading Next With Ripple VS SEC Case Nearing the End?
The XRP price has been trapped in a falling trendline since mid-April 2021. However, it is the descending triangle formed since the beginning of May 2022 that has given most XRP traders sleepless nights. Moreover, downward breakouts are more likely to occur in a descending triangle when the price is in a falling trend line, although an upward surge can occur in the crypto market.
The Ripple-backed crypto asset has gained approximately 12 percent in the past seven days to trade around $0.387976 on Monday. Down 88 percent since hitting its ATH, $3.4, the next major move on XRP price is heavily reliant on Judge Torres’ decision.
If the Judge on SEC vs Ripple case deems XRP security under the Howey test, then a capitulation could quickly follow forth. However, a Ripple win could send the XRP price to new highs and offer anticipated relief to DeFi projects on other chains like Ethereum.
The XRP market with approximately $38,768,969,611 in fully diluted valuation remains under the watchlist of hundreds of thousands of global crypto traders. Moreover, the XRP market reported a 24-hour trading volume of about $1,471,068,787.
The XRP traders will closely monitor how the asset’s price behaves on approaching both trend lines. After rebounding from the falling trend like several times in the past, and also respecting the $0.31 support level, a breakout from these two will be enormous. However, XRP traders should be wary of stop hunts that lead to a price reversal. Furthermore, XRP is well known to lead in crypto liquidation with over $3 million rekt in the past 24 hours according to data provided by Coinglass.
John Deaton Shares Prediction for Ripple Vs SEC Case in 2023
John Deaton, a well-known cryptocurrency lawyer, has turned to Twitter to provide his forecasts for the year 2023.
Deaton’s Predictions for Ripple-SEC Case
Among Deaton’s predictions, the first one is that a settlement to the Ripple case will not be reached until after we hear from Judge Torres. In the case that Ripple is being sued over, the attorney has also presented an argument that is in opposition to the SEC’s assertion.
The regulatory body claims that the firm is dependent on XRP sales to finance its operations and capital expenditures, which is evidence that Ripple and XRP are both belonging to the same enterprise and that the cryptocurrency is a security.
This assertion is further supported by the fact that Ripple allegedly gave cryptocurrency exchanges financial incentives in return for listing XRP. Both pieces of evidence, according to Deaton, are the SEC’s most compelling pieces of evidence; yet, all of this has left him wondering what exactly constitutes a common operation.
Deaton argues that in order for a court to accept the claim that Ripple planned to sell XRP and establish a secondary market, they would have to conclude that the whole XRP ecosystem, such as the exchanges and all of the holders, is a joint company.
Deaton’s Other Predictions
If Ripple’s SEC complaint is dismissed and XRP is classified as a security, the SEC may decide to launch an enforcement initiative to control the cryptocurrency. The XRP community anticipates a favorable ruling from Judge Torres.
Deaton further claims that the SEC will suit more than one exchange for selling securities without proper registration. The sued exchanges are called Gemini and Genesis.
Deaton then goes on to suggest that he believes inquiries into the interactions between disgraced crypto public figure Sam Bankman Fried and will reveal a lot of shady goings-on.
The attorney concludes that Gary Gensler will leave before the year is up. I find these predictions interesting, and I look forward to seeing which ones come true.
Ripple’s XRP Consolidates For A Massive Move As SEC Case Nears Conclusion
XRP’s price is currently forming a macro wedge consolidation, which is commonly followed by a significant price increase. In the past 24 hours, the cryptocurrency has gained about 3.1% and is trading around $0.374303. Market analysts believe that XRP is gearing up for a significant breakout as the SEC case nears its conclusion.
Additionally, the XRP community has been eagerly awaiting a price break above its all-time high since 2018. Despite the negative market sentiment, XRP has gained significant global momentum due to heavy speculation and the adoption of Ripple’s ODL technology by financial institutions.
On the daily chart, the price has been consolidating below the 50-day moving average for some time. Both the 50-day and 100-day moving averages, which are currently located around $0.37 and $0.39 respectively, are flat after a bearish cross.
At present, most crypto analysts that are actively following the XRP market believe a breakthrough is imminent.
Moreover, Ripple has heavily invested in the best legal team to guarantee a win against the SEC. They also have a seven-year-old XRPL technology that has a vibrant ecosystem of NFTs, DeFis, and developers constantly working on top-notch Dapps.
As of Wednesday, the XRP market takes pride in a Fully Diluted Valuation of approximately $37,315,303,265 and a 24-hour trading volume of around $1,577,485,698. However, since Ripple holds almost half of the XRP in a company’s vault, the standing market capitalization is about $18,890,233,485.
XRP’s Market Outlook
Despite ongoing legal challenges with the US Securities and Exchange Commission (SEC), the XRP market has managed to maintain its position among the top ten cryptocurrencies. According to Ripple, an increasing number of institutional investors, including those outside of the financial sector, are beginning to explore the company’s technology for cross-border payments. Brendan Berry, the Payments Product Lead at Ripple, recently stated,
“Over time, a broad base of customers beyond just financial institutions have begun asking for help in solving challenges with cross-border payments. Notably, many corporate partners now want the benefits of Ripple’s crypto-enabled cross-border payments solution. Our goal is to serve any corporate customer—regardless of industry—who can benefit from faster, cheaper, and more efficient cross-border payments.”
However, economists believe XRP’s market in the United States, which accounts for approximately 25 percent of global economic activity, is at stake. Moreover, Ripple’s CEO previously indicated the company will migrate to a crypto-friendlier nation should the SEC win.