What’s next for Ripple vs SEC lawsuit?
The United States Securities and Exchange Commission (SEC) decided on August 7, 2024, a notice of appeal to the Second Circuit Court of Appeals by Judge Annalisa Torres. The US SEC filed an appeal against Ripple and its CEO, Brad Garlinghouse, and the company's executive chairman, Chris Larson.
The SEC appeal and its impact on the future of Ripple and XRP
The impact of the SEC decision on XRP will be far-reaching in the coming months, especially since the appeal is connected to the expected altseason in the near future. Notably, the price of XRP underperformed during 2021's crypto bull run due to the initiation of the Ripple vs SEC lawsuit, which took more than three years to complete.
From a technical point of view, the price of XRP is slowly turning into a zombie coin, similar to Litecoin (LTC) and Monero (XMR). In addition, the large-cap altcoin, with a fully mined value of $53 billion and an average daily trading volume of $3.3 billion, returned to a macro triple consolidation after the trading event occurred earlier this week.
Already, the price of XRP has returned below the 50 and 200 moving averages (MA), indicating that the bears are gradually increasing.
The decision of the US SEC to reopen the Ripple case has been condemned by the XRP community. According to Garlinghouse, the US SEC is spending taxpayer money without justification or consequence.
“When the SEC unsuccessfully attempted to file an ‘interlocutory appeal,' they made it clear that they had no intention of challenging XRP's status as a security,” Garlinghouse said.
According to Ripple's CLO, Stuart Alderoty, the appeal of the case will prolong the disgrace of the agency, the court rejected the claim that the blockchain company acted carelessly.
Currently, Ripple is evaluating whether to file an appeal. Moreover, longtime enforcement director Gurbir Grewal showed some cracks after the agency filed a waiver notice an hour before the appeal.
Ripple has made significant strides in cross-border operations and is gearing up to launch a cryptocurrency called RLUSD. The launch of fiat-backed stablecoins by Ripple fulfills the cross-border use of XRP, thus helping Ripple not to lose its institutional customers and compete with blockchain companies that offer similar services.
